The US equity markets as represented by the S&P 500 has performed very well so far this year despite the dramatic selloff in late first quarter. The S&P 500 is down just 3.09% year-to-date on price return basis. However the market has become more highly concentrated with a handful of firms doing the heavy lifting. …
Continue reading ‘Sector Concentration Risk is High in US Equity Markets’ »
US stocks have roared back since the lows reached in March. None of the factors that would normally crush the market seems to have any impact on the market in the current scenario. Millions of unemployment people, a scary global pandemic, economic devastation to name a few seems to be nothing more than just noise …
Continue reading ‘Expensive Stocks Get Even More Expensive ! : Chart’ »
Millions of Americans have lost their jobs as Covid-19 decimated the US economy almost overnight. The tiny invisible virus did more damage to the economy than even 9/11. The number of unemployed Americans is about 43 million. As the adverse effects of the Pandemic continues to impact every corner of the world’s largest and dynamic economy, …
Continue reading ‘How Did The Stock Market Perform During The Spanish Flu of 1919 ?’ »
The global economy is heading into a deep recession if it is not in one already. Millions of Americans are unemployed as the world’s dynamic economic is in a standstill. In Europe and other parts of the world also the same situation is playing out. As companies’ profits are plunging many of them are cutting …
Continue reading ‘A Note on Dividend Cuts Around The World’ »
The US equity market crashed dramatically in the past weeks as market participants woke up to the fact the US is not immune from events happening in far-away countries. The utter madness that prevailed in the market before the collapse such as the constant hype over Tesla(TSLA) and other hot stocks now looks dumb.These days …
Continue reading ‘Huge One-Day Gains Are Common During Bear Markets Than Bull Markets’ »