U.S. Economy

Stock Market News Today: Another Fine for BAC; Dow Sheds 31 Points After Fed Meeting

stock market news_BAC

Stock market news, July 30, 2014: U.S. markets failed to rally this morning despite news that the economy grew by 4% in the second quarter and ADP reported that private-sector employers added 218,000 jobs in July.

The markets remained mixed until the afternoon, awaiting announcement from the conclusion of the two-day FOMC meeting. The Dow Jones lost more than 40 points after the Fed said it would cut bond purchases again, but offered little insight into future rate hikes.

Now, here are the top stock market news stories from today...

S&P 500 Dings New Record High; Fast Food Stocks, GM, and PBYI in Focus

S&P 500

Stock market close, July 23, 2014: The S&P 500 today (Thursday) gained 0.18% to set a new record high. The Nasdaq also gained, but the Dow Jones Industrial Index slipped. The International Monetary Fund slashed the 2014 growth forecast for the U.S. economy, cutting the expected growth rate from 2.0% to 1.7% for the year. It cited a slowdown in the first half of the year due to winter weather and decreased spending. The agency predicts the U.S. economy will grow by more than 3% for the balance of 2014.

Here’s the scorecard from today’s trading session, and the top stories that affected the stock market today...

How the Growing Bitcoin Market Will Cause a $3.4 Trillion Disruption

Bitcoin market

A tsunami of disruption - courtesy of Bitcoin - is headed directly for several sectors of the financial services industry.

Some of these companies may adapt to a world in which the digital currency plays a major role, but most are likely to become Bitcoin market victims - companies that will struggle and possibly disappear altogether.

This could have a tremendous impact on the U.S. economy, as 20% of the nation's gross domestic product (GDP) derives from the financial sector - an eye-popping $3.4 trillion.

These companies can’t afford to wait much longer…

Dow Jones Today Notches Another Record High; AAPL, YHOO, INTC in Top News

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Stock market today, July 16, 2014: The Dow Jones today (Wednesday) closed up for its 15th record-breaking close in 2014.

U.S. Federal Reserve Chairwoman Janet Yellen testified before Congress again today. She reiterated that the economy remains vulnerable to a struggling job market and stagnating wages - two reasons why the central bank will continue its loose monetary policy in 2014. Still, in its Beige Book this afternoon, the Federal Reserve said that the economy was expanding at "a modest to moderate pace."

Here’s the scorecard from today’s trading session, and the top stories that affected the stock market today…

Vaccinate Against This Fiscal Contagion

Editor's Note: Special Contributor Michael Lewitt publishes the highly regarded The Credit Strategist and was recognized by the Financial Times for forecasting both the financial crisis of 2008, and also the credit crisis of 2001-2002. His 2010 book, The Death of Capital: How Creative Policy Can Restore Stability (John Wiley & Sons) was included in the curriculum at the University of Michigan and Brandeis University.

The European financial crisis is often pushed out of the headlines by crises of a more incendiary variety. That might suggest the problem has diminished. It hasn't.

The saga of Portugal's Banco Espirito Santo is a sure sign to investors that the European financial crisis is anything but over. 

Mario Draghi and the European Central Bank (ECB) may keep its finger in the dike, but the dike is only going to spring more holes. 

European banks are still highly leveraged. Their investors are likely to run for the hills at the first sign of trouble, and governments are going to be reluctant to bail them out unless they feel that their collapse poses a systemic risk.

Global investors are, for the most part, shrugging off the problems at Banco Espirito Santo, but European investors are not taking things so lightly. Here's why you shouldn't, either...
Full Story

What Thomas Piketty's Best Seller Has to Do with Investing in Energy

No one would have ever thought that a 700-page book on economics like Thomas Piketty's Capital in the Twenty-First Century would hit the best-seller lists and become a lightning rod for political controversy.

What does Piketty's Capital in the Twenty-First Century have to do with making money in energy? A lot more than you might think.

You can't make big money investing in energy without understanding how it works...

To Gauge the U.S. Economy's Health, Heed the Call of CEOs – Not Central Bankers

U.S. economy

The U.S. Federal Reserve released its minutes from June's Federal Open Market Committee (FOMC) meeting yesterday, revealing that the central bank was going to follow the same script of tapering bond purchases and remaining coy on interest rate hikes.

In the following video, Fitz-Gerald discusses which industries are positioned well despite the uncertainty caused by the Fed, and names companies with solid fundamentals. Take a look at these top picks.

Read More…

These Signs of Market Trouble Are Looming

Editor's Note: By now you're familiar with Michael E. Lewitt of The Credit Strategist. We love his work. Today, he has a special report on current, troubling conditions at this late stage - and a dire warning for investors who may be unprepared. Here's Michael...

"Markets are priced to perfection...

Signs of late cycle behavior and thinking are abundant...

The latest example came from BMO's strategist Brian Belski, who published a report arguing that the bull market in stocks will continue for another ten years with annual gains of 10.5%.

This is the type of report that appears at market peaks. Despite the fact that it was dressed up in statistics and produced by a respectable brokerage house, this isn't a serious piece of research; it is nonsense and anyone who takes it seriously and invests based on its conclusions deserves the losses that will follow."

The above is excerpted from a recent report I produced for my Credit Strategist readers. I wanted to share with you some of my thinking on rapidly coalescing signs that point to growing cracks in the façade of a healthy market... Full Story

Three Small-Cap Funds to Watch as Sector Stages a Comeback

small-cap funds

As the U.S. economy becomes stronger and interest rates start to rise, smaller companies benefit the most from this type of environment.

With modest risk and high potential for growth, small-cap funds - which consist of stocks of companies that maintain a market capitalization between $500 million and $2 billion - are possibly one of the best investment hubs available today.

Here are the benefits – and risks – of small-cap funds, plus three to watch…

U.S. Labor Department Jobs Report: Big Gains in June, but Still Lagging Behind

U.S. Labor Department jobs report

Optimism surrounded Thursday's release of the June U.S. Labor Department Jobs Report, but although the numbers were better than expected, we still have plenty to worry about, and the economy is still in trouble.

Employers added 288,000 jobs in June. The unemployment rate dipped to 6.1% from 6.3%, the lowest level since September 2008.

Despite some encouraging figures in the jobs report, it is still peppered with troubling data - like these dismal numbers...

Dow Jones Futures Up After Record Finish; Plus FB, AMZN, GM and These Top Stories

Dow Jones futures

Stock market today, July 3, 2014: Dow Jones futures edged higher this morning (Thursday) by 0.1%, following a DJI record finish on Wednesday. S&P 500 futures and Nasdaq futures also signaled gains, up 0.12% and 0.24% respectively.
This morning, the Labor Department announced that the U.S. unemployment rate fell to 6.1%, as the economy added another 288,000 jobs, crushing street estimates of 215,000.

Here's what you should know is going on in the stock market today to make your Thursday profitable:

What's Driving the U.S. Stock Market to Record Highs – Again

stock market today

The U.S. stock market continues to reach new highs every week, as the Dow Jones Industrial Average nears 17,000 and the S&P 500 nears 2,000.

And while investors are clearly profiting from this extended bull market, it's important to know why the markets continue to trend higher and where they are headed from here.

Money Morning's Capital Wave Strategist Shah Gilani joined FOX Business' "Varney & Co." today (Wednesday) and discussed the factors pushing the markets higher, and why investors should remain cautious in this bull market...

Read More…

Stock Market Close: GPRO Soars Again, While GM, DG, and CZR Run into Trouble

Stock market close

Stock market close, June 27, 2014: The Dow Jones Industrial Average today (Friday) was flat despite a rise in consumer sentiment. Next week, look for a heavy slate of economic reports, including the June unemployment report, factory orders, and the ISM manufacturing composite index.

Here’s the scorecard from Friday’s trading session, plus top news on GPRO, DG, GM, CZR, and more...

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