When a stock is added to an index, it is a testimony that the company has successfully created stockholder value.
A buying frenzy usually follows, especially mutual funds who scramble to add the stock to their portfolio. The higher demand, coupled with limited shares in the market, inevitably drive the stock price higher. However, after a […]

In the last bull market, some financial analysts and economists debunked the existence of traditional business cycles. The basic assumption was that the global economy is spurred by so many positive drivers that a steady, non-inflationary growth path is easily achievable.
Under this ideal scenario, investors believed that recession and bear markets were a thing of […]

Today’s stock market shows a bit of upward activity and it seems like the axiom “investors go away in the month of May” is quite true. A lot of investors are sitting on the sidelines, refusing to enter the market. Hopefully, June should bring a flurry of activity.
Some good news on the US front though […]

Whew… I expected a severe downturn in the stock market today following a hike in oil prices, freeze on rate cuts by the Fed, declining home sales in April according to the National Association of Realtors, and inflation threats which means spending on essential items takes priority over investments. Wall Street went on holiday but […]

To conclude last week’s misadventure, the stock market looks promising but turned ugly… there aren’t many happy investors around, including me. A few factors were involved in the slackening performance of the stock market.
The sky-high price of crude oil is proving to be a major stumbling block, if it doesn’t stop rising soon, stock markets […]

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