Author Archive: Jeremy Parkinson
Powell’s Hawkish Hint Hurts Stocks, Boosts Buck
Investors were on edge ahead of Jerome Powell’s highly-anticipated Humphrey-Hawkins testimony to the House Financial Services Committee. While Powell was seen as the status quo candidate to replace outgoing Fed chair Yellen, some traders still harbored some uncertainty about his qualifications, which include extensive policymaking experience, but less formal experience (including the conspicuous lack of a doctorate […]
Consumer Confidence Surges To 2000 Highs But Stock Market Hope Plunges
Conference Board Consumer Confidence measures beat expectations handily in February with headline data at its best since Nov 2000. However, while investors are increasingly sure of higher interest rates, hopes for a higher stock market plunged from record highs. This is the biggest monthly drop in bullish investor stock market expectations since March 2007. “Consumer confidence […]
Richmond Fed Manufacturing: Robust Growth In February
Today the Richmond Fed Manufacturing Composite Index was at 28 for the month of February, up from last month’s 14. Investing.com had forecast 15. Because of the highly volatile nature of this index, we include a 3-month moving average to facilitate the identification of trends, now at 20.7, which indicates expansion. The complete data series behind today’s […]
Stocks Are In Overbought Territory
My Swing Trading Approach I’m not opposed to adding a new position in this rally, but stocks are in overbought territory and may see some profit-taking. I’m taking a “wait-and-see” to this market. Indicators VIX – Dropping hard over the last four days, and closing at its lowest level since 2/1. T2108 (% of stocks trading below […]
Now We Know How Far Stocks Have To Fall For The Fed To Act
10%. That’s what February’s flash crash shaved off of the major US equity indexes. And now Gerome Powell, the Fed’s incoming chairman, is saying that he’s fine with inflation exceeding the target rate of 2%. Put another way, he’s promising that monetary policy will be as loose as necessary to keep asset prices elevated and […]
E The Importance Of ROIC
Return on invested capital, or ROIC, is a profitability ratio telling us how efficient a company is turning capital into profit. It measures the return that an investment generates for those who have provided capital (i.e., bondholders and stockholders). The general equation is: ROIC = NOPAT / (Debt + Equity). By linking income statement and […]
AutoZone’s (AZO) Q2 Earnings Miss Estimates, Revenues Beat
AutoZone, Inc. (AZO – Free Report) reported adjusted earnings per share of $4.23 for second-quarter fiscal 2018 (ended Feb 10, 2018), missing the Zacks Consensus Estimate of $8.81. Revenues improved 5.4% year over year to $2.41 billion in the reported quarter. Also, the figure surpassed the Zacks Consensus Estimate of $2.39 billion. Domestic same-store sales (sales of stores […]
Dillard’s Nails Earnings But Market Cycles May Reward Patience
Dillard’s (DDS ) opened today’s trading session in spectacular fashion, popping 16% to over $82 on strong earnings. DDS reported adjusted earnings per share of $2.82 and total revenue of $2.06 billion, compared to Wall Street expectations of $1.82 and $2.05 billion respectively. This was achieved by strong performance in same-store sales of 3% as […]
Stocks Sink As ‘Hawkish’ Powell “Sees Some High Prices”, Raises Economic Assessment
Echoing The Fed’s Outlook report, Fed Chair Jay Powell warned Congress in the Q&A this morning that he “sees some high prices.” Ahead of Fed Chair Powell’s first semi-annual monetary policy report to Congress next week (brought forward to 2/27), The Fed has released his prepared remarks warning that “valuations are still elevated across a range of asset classes” […]
Delta Air Lines HL Financial Services Added Another 3.6% To Their Holdings
Delta Air Lines Inc. (NYSE: DAL) HL Financial Services LLC increased its shares in Delta Air Lines Inc. by 3.6% in the fourth quarter, according to the company’s most recent filing with the Securities and Exchange Commission (SEC). HL owned 67,055 shares of the airline’s stock after acquiring an additional 2,338 shares during the quarter. […]
