The aggravated situation in the Middle East following the conflict between Israel and Hamas has fuelled investor interest in military-industrial complex companies. Shares of the aerospace company Lockheed Martin may see heightened demand since aviation is likely to play a crucial role in this unfolding scenario. Should the hostilities persist, and the US extends a...
Trian Fund Management has increased its holdings in The Walt Disney Company. Its shares are now at their minimum while the company filed positive reports. In addition, Disney increased the subscription cost to its Disney+ streaming service. The strike of screenwriters and actors in Hollywood has also ended. All this background will positively impact the issuer's...
Amid the UAW (United Auto Workers) strike, General Motors' shares reached a three-year low. The automotive giant's management is likely to eventually come to an agreement with the workers' demands.
It is interesting to note that in Q3 2023, General Motors and its dealers sold 21% more cars than in the same period last year, leading to a 19% year-over-year growth...
A unique situation has arisen in the market where the reward for the risk associated with stock investments is nearly equivalent to the yield on 10-year US government bonds. The prices of debt securities are steadily declining, and only a substantial collapse in the stock market can restore demand for them.
Barclays' analysts share a similar viewpoint. However,...
Rating agency Fitch has upgraded its outlook on Boeing's prospects to "positive". Previously, the company's management announced their plans to increase production of the 737 model to a record 57 aircraft per month by 2025. These ambitious plans may lead to an increase in the aircraft manufacturer's revenue and the elimination of losses, along with a rise in...
The stock market is currently experiencing the adverse consequences of the US Federal Reserve's decision to hike the interest rate, with the Public Services sector taking a particularly hard hit. Public services, being typically the last to be paid by citizens, compelled companies to rely on short-term loans during periods of low interest rates to cover cash...
Berkshire Hathaway, the holding company of renowned investor Warren Buffett, is actively reducing its holdings in Hewlett-Packard Company (HPQ) shares. Berkshire's ownership in HPQ has decreased from 12.2% last quarter to 11.7%. This may be evidence of Warren Buffett having some insider information about the company's future. Furthermore, HP's actual financial...
Analysts at the Goldman Sachs investment bank draw attention to the seasonality of the US stock market. They point out that stock prices at the end of September and the first half of October are typically at their lowest just before the onset of the next growth cycle called the "Santa Rally".
Yesterday, 28 September 2023, US Federal Reserve Chairman Jerome Powell...
Oil prices for benchmark brands Brent and WTI are confidently surging towards 100 USD per barrel. In Q3 2023, the value of "black gold" has already soared by 30%. Revenues of companies within the oil and gas sector promise to be substantial at the end of the year. Moreover, such firms typically pay attractive dividends to investors.
Considering these...
Recently, small-cap companies, in particular, have been adversely affected by the Federal Reserve's interest rate hikes. The Russell 2000 index is down 7% since the beginning of September. According to Ned Davis Research, 30% of the companies in this index have floating interest rates on their debt obligations. In contrast, only 6% of firms included in the S&P 500...
Analysts at the Ameriprise Financial Inc. investment firm note that there is no correlation between the dynamics of gold prices and the interest rates set by the world's leading central banks. These indicators are currently at their highest levels since the 2008 crisis.
However, gold prices are still near their all-time highs, which suggests that large...
Stock indices have been declining since Wednesday evening after the US Federal Reserve decided to maintain the interest rate at the current level while allowing the possibility of its increase in the future. This decision triggered a surge in selling on the stock market as investors shifted their attention to US government bonds, which offer higher returns...
Oil prices have recently reached new highs compared to last year, because of the US suspending the sale of oil from its reserves, and OPEC+ limiting its production. These actions created a deficit of 'black gold' in the market, which has pushed prices up.
However, yesterday, 20 September 2023, the US Federal Reserve announced the likelihood of another interest...
