Tuesday, November 26, 2024
Most of us spend Thanksgiving eating good food, catching up to family, maybe watching a football game. I’m not averse to those things. But as it’s November, I’ll spend a fair bit of time talking about earnings to whoever will listen, too. See, every February, May, August, and November, Wall Street has to open up […]
Taiwan Semiconductor (TSM) has been my favorite semiconductor company for a very long time. It is the world’s largest contract manufacturer of advanced processor chips. And now, Warren Buffett has joined the Taiwan Semi fan club. On November 14, a filing with U.S. securities regulators showed that Buffett’s Berkshire Hathaway (BRK.B and BRK.A) had purchased […]
For the holiday, I traveled to be with my elderly parents. They are at an age when medical issues start to catch up and make life challenging. Helping them for the last few years has taught me some lessons that we all should heed, whether we are still working or in retirement. My parents are […]
Bond prices have rallied lately with the expectations that interest rates won’t go quite as high as originally expected. (Bond prices move opposite of yields.) This includes government bonds, corporate bonds, and high yield bonds as well. A very large bullish call spread in iShares iBoxx $ High Yield Corporate Bond ETF (HYG) suggests there […]
A recent article on mortgage-backed securities (MBS) had me going, “huh?” The story covers MBSs being very popular when mortgage rates were less than 3%, but now with rates over 7%, large, institutional buyers are staying away. That’s one reason why mortgage rates are so high, despite MBSs in theory being more profitable today. That’s […]
The latest bank earnings season highlighted the difference between the banks that rely on deal-making (Goldman Sachs and Morgan Stanley) versus those that are deposit banks that rely more on U.S. consumers and businesses (Bank of America, JPMorgan, Wells Fargo, Citibank). Deposit banks are in a generally better position to earn greater margins on the […]
There’s a sector of the market that’s seeing strong rallying in 2022. It’s holding up above pre-2020 numbers (unlike many tech stocks). When a new bull market emerges, this sector typically kicks it off. In this free weekly video — I release them every Thursday — I have 2 things to share with you: First, […]
A lower than expected CPI number sent stock soaring last week. The SPDR S&P 500 ETF (SPY) jumped 5.5% on the day of the release. Moreover, what looks like a massive covered call trade on SPY also occurred on the day, which may imply the index could climb as high as $420 in the next […]
If you think that last week’s inflation numbers would cause the Fed to pivot, I have a bridge conveniently located in lower Manhattan that offers easy access to Brooklyn available for immediate sale. You could make millions charging other people big bucks to use your new bridge and recoup your costs in no time. Yes, […]
There was a recent major development that many investors have almost completely ignored: the U.S. government is getting into the domestic mining and battery industries. As part of the Inflation Reduction Act (IRA), the Department of Energy handed several companies big lumps of cash in mid-October, ranging from $50 million to $316 million, adding up […]
