April 26, 2018 | Daily JAM |
I’m sure you’ve noticed. As bad as the losses in the general market have been on some recent days–such as yesterday–the punishment meted out to biotech stocks has been worse.Part of that has been the “usual” pattern in a market that is busy selling “risk.” Biotech stocks always get hit hard in such a period. But there’s more, much more going on that’s specific to the sector. And in fact specific to Merck (MRK) and Incyte (INCY), a biotech that’s in my Jubak Picks Portfolio and where I also hold options in my Volatility Portfolio. The key event here for the sector is the April 5 news that Merck and Incyte were pulling the plug on a clinical trial
April 25, 2018 | Daily JAM, STO, Stock Alerts, Volatility |
There's no pleasing the market these days. Shares of Statoil (STO) fell 1.54% to $24.96 today after the company reported first quarter earnings of $4.4 billion, its highest quarterly profit in three years and 33% higher than in the first quarter of 2017. But the Wall...
April 24, 2018 | Daily JAM, Morning Briefing, Short Term |
Caterpillar (CAT) crystalized the market’s fears in its conference call this morning. After delivering really great results before the market opened–Caterpillar beat Wall Street earnings estimates by 72 cents a share and then raising its guidance for fiscal 2018 to earnings of $10.25 to $11.25, up from prior guidance of $8.25 to $9.25 a share–the shares moved up strongly, climbing by as much as 4.6%. And then came the conference call.
April 24, 2018 | Daily JAM, FCX, Stock Alerts |
Before the U.S. markets opened today Freeport McMoRan Copper & Gold (FCX) ) reported a big earnings miss. As of 2:30 p.m. New York time the shares were down 16.67%. That's good news for the May 18, 2018 Put options I added to my Volatility Portfolio on April 3,...
April 24, 2018 | Daily JAM, GOOG, Stock Alerts |
Some times in the financial markets, the numbers aren’t as important as the narrative. I think that was the case with Alphabet (GOOG) today, Tuesday, April 24. Monday after the market close Alphabet reported first quarter earnings of $9.93. That was a healthy 64 cents a share above the Wall Street consensus estimate for the quarter. Revenue climbed 25.9% two $31.15 billion. That was $870 million above Wall Street projections. Paid clicks on Google properties rose 59% year over year. But Tuesday the stock sank by 4.45%, dropping $47.47 a share to $1019.98 Why the drop on such good earnings numbers?
April 23, 2018 | Daily JAM, FANG, HP, PXD, SLB, STO, YPF |
Oil futures in New York settled at their highest since December 2014. U.S. benchmark West Texas Intermediate climbed 0.35% to close at $68.88 a barrel. International benchmark Brent crude rose 0.88% to $74.71 a barrel. The gains were unusual in that the U.S. dollar strengthened today. But the markets had news of another missile attack on Saudi Arabia–again unsuccessful–by Houthi rebels in Yemen. The Houthis are backed by Iran and Yemen has become a proxy war for power in the Middle East between Iran and Saudi Arabia (and by extension, Russia and the United States.)
April 23, 2018 | Daily JAM, IBCP, Stock Alerts |
Independent Bank (IBCP) reported first quarter earnings of 42 cents a share today. That's up from 28 cents a share in the first quarter of 2017. Special items added 4 cents a share to earnings. The reduction in the bank's tax rate thanks to the Tax Cuts and Jobs Act...
April 23, 2018 | Daily JAM, Short Term, TBX |
Prices for 10-year Treasuries remained just strong enough to keep yield on this benchmark bond below 3%. Not much below 3%, granted. The high for the day so far is 2.996% as of 3 p.m. New York time. At 3 pm. the yield on the 10-year Treasury was 2.97%, up one basis point for the day.
April 23, 2018 | Daily JAM, Morning Briefing |
U.S. Treasury Secretary Steve Mnuchin said today that Russian metals giant Rusal, could get sanctions lifted if Putin-connected oligarch Oleg Deripaska relinquished control. The Treasury also gave Rusal a five month extension as it considered Rusal’s appeal of the sanctions. Commodity prices–especially aluminum–fell on the news.
April 23, 2018 | Daily JAM, Stock Alerts |
The earnings results for Kinder Morgan's (KMI) first quarter were in line; it's 60% increase in the annual dividend was more aggressive than expected. Adjusted EBITDA (earnings before interest payments, taxes, and depreciation) was $1.90 billion for the quarter,...
April 21, 2018 | Daily JAM |
Suffice it to say that if the market can’t get excited about earnings this week, it’s not likely to get excited about earnings and we will have locked a sell on the news faction into place for this quarter.
April 20, 2018 | Daily JAM, Morning Briefing, Short Term |
After a week when plunging prices for chip makers made it hard for the U.S. indexes to make much headway, even after earnings beats from companies such as Netflix (NFLX), today the software and advertising technology stocks joined in the rout. That sent the Standard & Poor’s 500 down 0.85% to 2668. Apple (AAPL) continued its role as heavy for the week falling another 4.1%.