Thursday, November 7, 2024
Decades ago (in the 1990s), I learned that traditional bond funds—whether ETFs, index funds, or mutual funds—would destroy investor holding values in a rising rate environment. Forty years of declining rates hid this fact from the investing public. 2022 exposed the dangers of traditional bond products. Fortunately, there is a better way to invest in […]
Fomento Económico Mexicano (FMX), known as FEMSA, is a very interesting company that traces its origins to an 1890s brewery in the city of Monterrey, Mexico. Now a Mexican multinational beverage and retail conglomerate headquartered in Monterrey, FEMSA operates the largest independent Coca-Cola bottling group in the world as well as the largest convenience store […]
Is the price of silver about to skyrocket? A massive options trade in iShares Silver Trust (SLV) could be suggesting that a large rally may occur in the precious metal before autumn sinks in. SLV is the most popular ETF for trading silver and tracks the price of physical silver. A trader placed an October […]
I have said it before, and I will say it again: I am not a huge fan of the broader market at these levels. While the recent banking turmoil has raised the possibility that the Federal Reserve would cut rates soon, I think we have a better chance of the Cincinnati Reds winning the World […]
The recent banking “crisis” pulled down share prices of many income stocks, not just banks. Broad-based stock selloffs provide excellent opportunities for investors who understand the difference between quality stocks available “on sale” and the companies that are actually at risk. When the share price drops, there is one stock of which I will always […]
2022 was a bad year for many companies… but not for consumer goods companies, which had a remarkably strong year. And this was despite a sharp rise in raw material costs and stretched household budgets because of inflation. Consumers swallowed big price increases in 2022 without batting an eyelid. Companies in the sector hiked prices […]
Everyone’s heard about the “Santa Claus” rally in December. But, every month of the year, typically has patterns to how the market moves. Normally, the summer is pretty average as many Wall Street desks are empty due to vacation. What about April? April is one of the most interesting to study. Because normally, April is […]
This past week, Block (SQ) was the subject of a short report, which caused the stock to lose 15% in a day. It’s hard to say how valid the report is, but options traders think the share price will stay depressed for at least a week. A trader sold 1,000 call spreads that expire at […]
As promised, I want to look further into banks that have seen heavy buying by insiders recently. All because of the banking “crisis” that’s been all over the news lately. Now, look. This isn’t a real banking crisis. This is just the banking industry deciding to have a “crisis” thanks to some horrific decisions made […]
Since the pandemic became an official crisis in early 2020, investors have had to deal with crisis after crisis. There does not seem to be a path toward the next bull market for stocks. I assume we will have another bull market at some point, but the current crisis-to-crisis investment environment makes strategies that rely […]
