News That Matters

Tag: investors

An analyst warns investors against falling for a widely-held assumption about rising tech stocks

An analyst warns investors against falling for a widely-held assumption about rising tech stocks

Finance
Come Monday, the tech-heavy Nasdaq will try to kick-off its second positive week in a row. But it's poised to do so without small cap tech and Chinese internet companies. According to veteran market watcher Nicholas Colas, much of Wall Street is mistakenly assuming that the technology sector's big surge is broad-based. "It's largely a large cap phenomenon," the DataTrek Research co-founder said Friday on CNBC's "Trading Nation." The Nasdaq is now up almost 25 percent over the past 52-weeks, while the broader S&P 500 is up 16 percent in that same p...
Now that taxes aren’t such a big worry, here’s what’s keeping investors up at night

Now that taxes aren’t such a big worry, here’s what’s keeping investors up at night

Finance
With individual tax rates down, a new boogeyman is haunting investors: inflation worries. Those were the findings from the American Institute of CPAs' Personal Financial Satisfaction Index, which measures investors' "financial pleasure" or "financial pain" based on a range of economic factors, including personal taxes, inflation, job openings and real home equity. Overall, the Personal Financial Satisfaction Index has crept up to 27.7 in the second quarter, from 27.0 in the first three months of the year. This reflects increased job openings and strong stock market performance. ...
Tech firms are suddenly the corporate world’s biggest investors

Tech firms are suddenly the corporate world’s biggest investors

Finance
A COMMON way to describe the history of the technology industry is by product cycles. The 1990s was the era of the PC; then came the internet and related services, followed by mobile; and now artificial intelligence looms. But there is a different way to think about tech: it is switching from an era of hoarding profits to one of reinvestment. Take a crude yardstick of spending: the physical footprint of the five most valuable American tech firms. A decade ago if you added up all the land they occupied, you got to an area one and a half times the size of Central Park. Now an ongoing splurge means they use ten times more space, or 600m square feet (55m square metres), roughly the size of all of Manhattan. This shift to redeploying profits is seismic.Amazon accounts for two-fifths of that spa...
Where investors should hide out during a trade war

Where investors should hide out during a trade war

Finance
Those seeking protection against an intensifying trade war between the United States and its economic allies should buy shares of domestic, consumer-facing companies, according to investors. Utilities — classic defensive plays with domestic-only markets — could also benefit if this is a prolonged conflict, some said. Others are sticking with the hot small cap trade in the face of this escalating conflict. With both Beijing and Washington slapping each other with $ 34 billion in new tariffs Friday, some market strategists voiced concern a ...