Markets move down!

Stocks fall

Pressure appears to be building as the stock market bull run falters. Major indices have given up gains and moved away from lofty highs. The DOW, S&P 500 and Nasdaq all closed down – each losing around 1% on Wednesday, 18th August 2021. The FTSE 100 and DAX, Nikkei and Hang-Seng all lost ground too. U.S. markets down U.S. markets % change Value Change Dow Jones – closed at -1.08% 34960 -383 Nasdaq – closed at -0.89% 14526 -130 S&P 50 – closed at -1.07% 4400 -48 U.S. Markets closed…

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Markets slip as bond yields gain after Powell comments

Nasdag

Dow, Nasdaq and S&P 500 all down yesterday, Thursday 4th March 2021, as bond yields increase, then stabilise later The US 10-year Treasury yield rose close to 1.59% The Nasdaq lost 2.1% to close down at: 12723 as tech stocks were sold. The S&P 500 and Dow were also affected by the tech sell-off. The S&P 500 fell 1.3% and the Dow was also down 1.1% as financial and energy stocks managed to dodge the bullet. The FTSE 100 lost just 25 points. The Nasdaq has fallen 9.7% from its February…

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Higher bond yields weigh on stocks and lead to tech sell-off

Tech stock sell off

Tech stock sell-off gains momentum Asian markets fell heavily Thursday, 4th March 2021 in early trade, tracking a U.S. decline as further rises in bond yields rattled investors as they fret that this may lead to higher inflation and prompt central banks to raise interest rates early than expected. This is not so good for equities and tech shares in particular. Nasdaq closed down at: 12988 – futures moved lower touching around 12520 at one point. The Nasdaq reached a high of 14095 on 12th February 2021. From high to…

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Bulls and bears fight it out, yields, memes, a new ‘Buzzy’ ETF and Buffet

U.S. Bull Market

U.S. stocks closed down on Tuesday 2nd March 2021, as the fight between bulls and bears continued after Monday’s hike S&P 500 range bound? The S&P 500 is trapped in a range between 3,800 and 3,900 – a close above or below these levels will be important for the future direction of the market. Futures trade higher. UK stocks UK tocks moved higher in early trade Wednesday 3rd March 2021, with the FTSE 100 closing in on 6700 – will it stabilise and gain from here? EU stocks European stocks also…

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Stock markets gain again after bond yield movement

Stock markets up

After very recent stock market all time highs, the Dow moved back up again. S&P 500 followed suit after its retreat due to recent bond yield gains Dow closed up 600 points at: 31535 with intraday movement seeing over a 700 point rise. The S&P 500 closed up at: 3902, up 91 points on the day. Stocks climbed as confidence returned to markets, with investors shaking off concern about the impacts of higher Treasury yields. Longer term dated bonds continued their selloff even as ‘medium’ term maturities found support, with traders…

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Bond yields and stocks slug it out

Bond yields

Bond yields create fear factor The fears over falling bond prices that gripped the market last week receded on Monday, 1st March 2021, as European stocks and U.S. stock futures rose as bond yields fell. The surge in bond yields bashed equity markets last week, with the technology heavy Nasdaq losing some 5%. Rising yields make the relative valuation of stocks appear worse as yields move in the opposite direction to prices. Central banks Central banks will eventually most likely have to react if there is a sustained rise in…

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Investors panic over rising U.S. bond yields

Tech

Tech stocks yield to bonds Are the days of simply loading money into stock market top tech stocks, regardless of valuation, finally coming to an end? The U.S. tech rout witnessed yesterday, Thursday 25th February, seemed to suggest this is the case. The Nasdaq experienced its biggest one day loss since October 2020. Yields The U.S. ten year Treasury yields in February 2021 have moved from 1.13% to a high as 1.61%, a rise of 48 basis points, the highest level in a year. This move has occurred way ahead…

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Talk of Inflation and a Stock Market Bubble gain traction

Inflation

Is inflation becoming the real test of market durability in 2021? Inflation, during these times, is an unknown quantity, even an unspoken term from times past, something to talk about . But it may soon make a fresh appearance in world economies, and when it does, the fledgling world economic recovery will likely suffer again, despite all of the financial support ploughed into the ‘system’. The pressure on interest rates to rise again will increase. Something has to go pop! Central banks Our current batch of Central bankers pretty much…

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Did the market get ahead of itself?

Tech stock sell off

Stocks select reverse gear U.S. and global stocks went into free fall on 11th June 2020 as the Dow recorded a 1800 point drop in one session, and as investors mull COVID-19 spikes, the Fed’s outlook and jobless claims data. The Fed promised it will keep interest rates low until 2022. Now this type of statement is usually music to Wall Street’s ears, but not this time, as markets unravel. Outlook not looking so good Did the market get way too far ahead of itself and is it now reacting…

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Stocks are up, so all is okay…?

Popping the balloon

So, stocks are up and that means all is okay – no I don’t think so. These big stock market bets on economies re-opening quickly and going back to ‘normal’ are likely lulling us in to a false sense of security. We want it to be good again, of course we do. But let’s fix things properly before we go forward. Betting is not a good solution. As the Dow reclaims 27000 and goes even higher and as many world indices climb back close to or above their pre-coronavirus levels,…

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