Which Political Party's Presidency is BEST for Stocks? The Answer Will Shock You!
As a follow up to one of my post last week on evaluating management using ROE, this post will touch on an additional management evaluation tool. In addition to evaluating the company's ROE, investors should review the company's shareholder letter that accompanies the firm's annual report.
One market indicator that has been getting a lot of attention lately is the VIX Index (VIX). The VIX has been in the news lately since the Index has been hitting all time high levels, reaching over 81 on Thursday. The importance of the VIX has to do with the fact it is a measure investor fear looking forward over the subsequent 30 day period.
We are consolidating in a symmetrical triangle, meaning, we aren't going anywhere for a a few days. This pattern has a 50/50 chance of both breakout of breakdown which is the reason why I'm staying in cash at least for now. Today was interesting however. The materials/industrials sectors displayed strength and formed double bottoms, but hit major resistance at their prior short-term highs.
One segment of economic information that I find important to review on a regular basis is data on the small business segment of the economy. Small business represents roughly 99.7% of all employer firms and 80% of all new jobs in the U.S so the health of this segment is important to future economic growth.
These are really difficult times.
Useless to say that I am losing money. In the past 2 weeks I saw my portfolio plunging at such a speed!
I bought something during the panic days, may be too early. I sold a few days later for a small profit. I bought again this morning.
The largest inflation adjustment in 27 years will begin in January. It’s the largest increase since a 7.4 percent jump in 1982 and is more than double the 2.3 percent rise that retirees got in their monthly checks starting in January of this year. The typical retiree’s monthly check will go from $1,090 to $1,153. The average monthly check for a disabled worker will go from $1,006 to $1,064.
Everyone is joining aboard to solve this world credit crisis. The U.S. government along with several international governments planned a series of global, coordinated steps to shore up investor confidence and encourage banks to start lending to each other both domestically and abroad.