Archive for November 2008

Why The Stock Market Is Irrational Right Now

One of the things about Wall Street is that it is incredibly short term focused.  Investors, including (especially?!) professionals, tend to care about the here and now and possibly a year out. If you do this, ...
Posted by Greg Feirman  ·  No Comments »

Average Yield On Junk Bonds Exceeds 20%

November 20, 2008  ·  Category: Bonds, Macro Economics, Market Commentary, Sentiment Analysis
This is really off the charts in terms of anything we have ever seen. - Martin Fridson, CEO, Fridson Investment Advisor, a non-investment grade debt specialist Junk bonds on average now yield more than 20% for the ...
Posted by Greg Feirman  ·  No Comments »

All The Gains From The 2002-2007 Bull Market Gone

November 20, 2008  ·  Category: Macro Economics, Market Commentary, Technical Analysis
The S&P 500 hit 776.76 this morning.  Guess what the closing low on October 9, 2002, the low of the previous bear market, was? 776.76. All the gains from October 9, 2002 through October 9, 2007, the ...
Posted by Greg Feirman  ·  No Comments »

Stocks Massively Oversold As Volatility Eases

November 18, 2008  ·  Category: Market Commentary, Technical Analysis
The S&P 500 is 410 points (33%) below its 200 day moving average - the most oversold it's been since 1937.  The 200 day moving average generally serves as an indicator of the markets intermediate term ...
Posted by Greg Feirman  ·  No Comments »

NY Times: The Golden Years, Tarnished

November 18, 2008  ·  Category: Culture and Current Events
In communities like Gleneagles and in the homes of retirees across the country, these are days of fear and uncertainty. In theory, retired people are not supposed to invest much in the stock market; in ...
Posted by Greg Feirman  ·  No Comments »

National Association of Homebuilders Confidence Index Registers At 9

November 18, 2008  ·  Category: Market Commentary, Real Estate, Sentiment Analysis
Today's report shows that we are in a crisis situation. - NAHB Chairman Sandy Dunn When I heard Diana Olick report this number on CNBC a few minutes ago I had to chuckle.  You have to realize ...
Posted by Greg Feirman  ·  No Comments »

Walmart Continues To Prosper In Tough Economy

November 14, 2008  ·  Category: Macro Economics, Stocks
Yesterday morning Walmart (WMT) reported another solid quarter (WMT FY 3Q Earnings Release).  This morning The Wall Street Journal ran a front page article on them: "Walmart Flourishes As Economy Turns Sour" (subscription required). While other ...
Posted by Greg Feirman  ·  No Comments »

Successful Retest?

November 13, 2008  ·  Category: Market Commentary, Technical Analysis
The same can be said about the overall market: We’re looking at a retest of the lows from October 10 (840 intraday) and October 27 (848 close).  If those lows can hold, we’re adding even ...
Posted by Greg Feirman  ·  No Comments »

Dell Is Trading For 4 Times Earnings

November 13, 2008  ·  Category: Fundamental Analysis, Stocks
I just want to give you an example of how absurdly cheap stocks are right now. Today, on the back of Intel's reduced forecast and Goldman Sachs putting them on their Conviction Sell list, Dell traded ...
Posted by Greg Feirman  ·  No Comments »

Intel, Microsoft, Dell At Levels Not Seen Since The Late ’90s

November 13, 2008  ·  Category: Market Commentary, Stocks
This is unbelievable: Intel (INTC) is trading below $13 a share.  That's right around where it bottomed in October 2002 after the tech bust.  Prior to that, it hasn't traded at these levels since 1996 - ...
Posted by Greg Feirman  ·  1 Comment »