Regulatory Fears or Not, This Tech Giant Should Continue to Hum Along
The past few years have seen a several regulators look to go after the “big tech” companies. The issues range from monopoly power to how products and services are bundled in a way that prevents competition.
While the European Union has been heavy on using its regulatory power, the United States has been far lighter. However, the Department of Justice is looking at a potential breakup of tech giantAlphabet (GOOG), parent company of Google and Youtube, among others.
What this breakup would ...
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This Underperforming Tech Play Has More Room to Rally
The market is shifting. Big-cap tech names that have dominated the markets for nearly two years are starting to slow down. Other parts of the market are starting to take over the leadership.
However, not all tech plays are big-cap names. And many tech stocks are still well off their all-time highs. Those that are heading higher now still have more room to run, and a few could even become market leaders in their own right.
That includes the payment companies, which ...
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Banks Still Look Profitable After Interest Rates Shift
While the Federal Reserve just started to lower interest rates, new economic data suggests that rates will take their time to decline from here. A strong labor market and potential for inflation ticking higher could keep rates from moving too low, or too quickly.
However, the start of earnings season indicates that isn’t a problem for big banks. While lending may not look attractive when rates are relatively high, the start of the interest rate cut cycle certainly hasn’t hurt.
The big ...
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Earnings Still Matter, But Look for Oversold Opportunities
Over time, a company’s earnings will drive its share price higher. In the short-run, headwinds like uncertainty over consumer spending could lead to some buying opportunities as share prices get unfairly knocked down.
That’s because markets tend to move on short-term news, creating dips on the path to long-term growth. These buying opportunities occur often during earnings season, when solid earnings numbers get overshadowed by short-term or one-time fears.
That looks like the case with Domino’s Pizza (DPZ). The pizza chain posted ...
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One Way to Play A “No Landing” Economy
The economy continues to grow. Inflation has fallen well off its highs. And the labor market continues to hold up well. These are all signs of a “soft landing” scenario for the economy. Some are even starting to see “no landing.”
That simply means that the economy will continue to grow, without a recession, whether mild or severe. And that could mean that consumers will continue to spend, which should be good for one lagging sector.
That sector is shipping. It’s seen ...
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Companies With Strong Brands May Thrive as Markets Shift Away from Tech
Investors have started to shift away from tech companies over the past few months. The trend is still an early one. It means that the Magnificent Seven stocks, which have led the market higher for nearly two years, may finally take a breather.
In their place, other companies stand to help push the market higher. That includes companies with strong brands. Typically, these companies are worth owning for years. and will often stage strong rallies after a long period of underperformance.
That ...
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Shifting Interest Rates Bode Well for This Niche Market Sector
Interest rates have started to decline, for the first time in four years, and after a hefty interest rate hike cycle. The bond market is starting to predict future rate moves, with the expectation that the half-point rate cut will slow down to quarter-point increments.
No matter the speed, the direction of interest rates suggests that some sectors will benefit over the months ahead. And that being in the right sector to benefit from declining interest rates could see big returns.
For ...
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Safe-Haven Assets Continue to Trend Higher – Keep Buying For Now
The stock market is having a strong year, with the S&P 500 up over 20%, well above its long-term average. But other assets have fared even better. Gold is up nearly 25%, and bitcoin is up over 40%.
Investors continue to move into these trades on skepticism about the market rally lasting. It’s possible that lower interest rates could fuel inflation again, which could send these assets even higher.
With that potential scenario in mind, investors may want to continue to invest ...
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