Tuesday, November 26, 2024
We are in an interesting phase of the stock market cycle. The monetary and valuation models flash yellow and red, while momentum and sentiment are bright green. And the Federal Reserve has raised rates at a faster pace than ever before, which is going to hurt stock prices eventually. Interest rates are a vital component […]
A year ago, Rithm Capital (RITM) changed its name to reflect a broader business scope. Formerly known as New Residential Investments, the company is expanding beyond mortgage-related services and investments. Last week, Rithm announced the acquisition of Sculptor Capital Management (SCU) for $639 million, or $11.15 per share. Let’s take a look at what Rithm […]
Japan has been mired in an economic slump for decades. Despite keeping its benchmark interest rate below 1% since 1995—and at or below 0% or below for more than a decade—GDP growth rates have struggled to consistently stay in positive territory. That’s why investing in Japanese stocks has been mostly an exercise in futility for […]
There’s been a lot of talk recently about the yield curve “inverting,” meaning that shorter-term bonds yield more than longer-term ones. That means investors expect that the economy will grow faster now than in the future – that a recession is coming, in other words. But that doesn’t matter much for the stock market. Instead, […]
Wes Gray is one of the most innovative and interesting voices in all of finance. A Marine Captain who served in Iraq, he also studied under the legendary Eugen Fama at the University of Chicago, earning both an MBA and a Ph.D. After serving for a period of time as a Professor of Finance at […]
It may have been the Fourth of July, but it was a Japanese titan of the car that set off the fireworks a few weeks ago in the auto industry. The company—and its new CEO, Koji Sato—unveiled ambitions to halve the size, cost, and weight of batteries for its electric vehicles (EVs) following a breakthrough […]
Business development companies (BDCs) are a high-yield investment sector benefiting from higher interest rates. One of the largest BDCs recently changed its name, giving me a good excuse to review this under-the-radar, high-yield stock – one of my favorites… On July 6, BDC Owl Rock Capital Corporation, stock symbol ORCC, changed its name to Blue […]
Regional banking stocks saw their prices take a major haircut earlier this year during the banking crisis (perpetuated by the failure of Silicon Valley Bank). SPDR S&P Regional Banking ETF (KRE) saw its stock price drop from about $60 per share to under $40. However, just last week, a large block trade in KRE options […]
A recent report highlights that many Gen Xers’ retirement savings are woefully short of what they will need to be income secure for their retirement years. Let’s look at the problem and some steps they can take to not reach their retirement years with worries about making ends meet. This month, the National Institute on […]
On July 13, Exxon Mobil (XOM) agreed to buy Denbury (DEN) for $4.9 billion. Denbury shareholders will receive 0.84 shares of Exxon for every share of Denbury stock they owned. This acquisition will accelerate Exxon’s energy transition business, thanks to Denbury’s established carbon dioxide (CO2) sequestration operation. And far from being too late, this marks […]
