Archives for March 2020

March 2020 - Page 2 of 14 - Money Morning - Only the News You Can Profit From

3 Warren Buffett Stocks to Watch Right Now

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Warren Buffett has largely remained out of the headlines during this financial downturn.

While other money managers like Bill Ackman and Carl Icahn continue to generate headlines, Buffett has largely remained quiet.

Prior to the market crash in March, Warren Buffett's Berkshire Hathaway (NYSE: BRK.A) had roughly $128 billion in cash.

That level of dry powder means that it could purchase nearly any U.S. company trading on the public markets.

Berkshire is likely to deploy some of its cash; however, it could choose to boost its existing stakes in its portfolio companies instead of buying a new company.

Here are three major holdings of Berkshire Hathaway that could be excellent "Warren Buffett stocks" to buy.

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Dow Jones Industrial Average Primed for Another Volatile Week

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The Dow Jones Industrial Average could be in for another dramatic week as the coronavirus spreads across the U.S.

There is speculation that the Federal Reserve may consider unprecedented actions to support U.S. companies, including the purchase of stocks.

More on what's moving the Dow today, below.

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How to Trade This Market Volatility in 3 Simple Steps

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Stocks have been moving dramatically nearly every day.

The Dow Jones Industrial Average saw a three-day bull run last week, from around 18,000 to above 22,000.

The next day, it fell 700 points.

Who knows where it will be this week?

While this volatility hasn't been great for many 401(k) or retirement portfolios, Money Morning's options trading specialist, Tom Gentile, sees an opportunity.

He has an options trading strategy to help you cope with high volatility and high options prices.

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These Five Signs Will Show When Stock Markets Are About to Bottom Out

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Last week gave hope that stock markets had found a bottom, with a three-day rally that brought the Dow up over 20% from Monday's close through the end of Thursday's session.

However, stocks fell sharply on Friday, giving back some of the previous three days' gains from news that the U.S. has now become the country with the most confirmed coronavirus cases.

So the question remains: Are we at the bottom? And what will tell us that the market is making an investable bottom – one that will hold for more than a week or two?

Here are five clear signs our D.R. Barton's looking for to identify when the markets will bottom out...

3 Penny Stocks to Watch as Market Volatility Accelerates

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The markets are experiencing wild swings every day.

While a 20% jump in markets this week technically ended the shortest bear market ever, don't think for a second that we're passed the worst of this crisis.

We will see significant volatility in the coming weeks as concerns about credit hammer the banking sector and investors fret about the nuclear bomb that is about to hit second-quarter GDP.

With that in mind, there are still a number of stocks out there that are very intriguing as "Buy and Hold" candidates.

Penny stocks – which typically trade for $7 per share or lower – offer high-upside opportunities given the current conditions in the market.

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Help Your Country and Your Portfolio with These Three Bond Plays

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Suffice it to say, this week's market rally has been a welcome respite from a month-long (though it feels longer) market free fall. But it's important to keep things in perspective.

While the market might continue its rally for a few more days, I wouldn't be surprised if it doesn't stick. We've entered a bear market environment, and any rallies we see from now on like we did this week will most likely be followed by severe drops. Especially as we get more news on growing infection numbers and a suffering economy.

And that's why I wanted to take a moment to talk to you folks about one of the perfect plays for a bear market. This will keep you ahead of the volatility still to come.

You see, bonds often get a bad rap.

A treasury bond is a government debt security that you can buy and sell just like a stock. But it offers lower yields, making it a much less attractive investment.

What many people don't know is that bonds are actually a vital source of revenue. They help to keep the lights on for governments, states, and corporations…

And they offer an ideal safe haven in bearish market conditions.

With all three major indexes down more than 20% from their recent highs, markets have officially entered bearish territory – making now the perfect time to get into bonds.

You don't have to worry about lower yields, either.

With bonds, you can come to the aid of your country, profit from rising prices, and dramatically increase your annual returns… Full Story

With bonds, you can come to the aid of your country, profit from rising prices, and dramatically increase your annual returns... Full Story

Was That the Shortest Bear Market Ever or a Bull Market Trap?

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By yesterday's close, stocks had gained 21% in the last three days, making that the shortest bear market on record.

The Wall Street Journal coronated the end of the three-day rally by declaring that "A new bull market has begun."

Now that we're at the start of a new bull market, it's time to dive into stocks again, right?

Not so fast.

This has all the signs of a classic bull market trap.

It's something we've been warning investors about this week.

"Head fake" rallies are a common feature of bull markets.

This one's no different.

All signs point to markets and the economy getting even worse from here...

Dow Jones Industrial Average Slides After Record Three-Day Run to New "Bull Market"

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The Dow Jones Industrial Average dropped more than 600 points at open today.

This comes after a three-day stretch that technically ended the Bear Market.

However, it’s clear that we’re witnessing a head fake for the markets.

Investors now face a significant challenge on the horizon as the U.S. economy shuts down to address the spread of coronavirus.

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The Market Looks Past 3.28 Million Newly Unemployed and Soars: Is That Crazy?

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Initial jobless claims for the week ending March 21, 2020 were a record 3.28 million.

That's 11.6 times the week before when 281,000 claims were filed, and 4.72 times the previous record of 695,000 Americans seeking benefits way back in the week ending Oct. 2, 1982.

But that didn't stop the Dow Jones Industrial Average from soaring 1,351.62 points, or 6.38%, to 22,552.17 yesterday.

Is that crazy? No and yes. When you put this rally in context, it looks one way. But, we cannot forget what's coming for us.

When you put this rally in context, it looks one way. But we cannot forget what's coming for us...