Billion Dollar Unicorns: Newly Public Redfin Wants To Be The Amazon Of Real Estate
According to the National Association of Realtors (NAR), the aggregate value of existing US home sales in 2016 was approximately $1.5 trillion. Researchers estimate that 5.5 million transactions were conducted for these homes by over 2 million active listing agents and more than 85,000 real estate brokerages. Overall, these agents would have earned more than $75 […]
Dollar No Longer Fearful Of Geopolitical Risks
The US dollar is continuing its recovery against its competitors during the European session. As North Korea falls silent on its threats of ballistic missile launches, the dollar is well on its way to recovering all of its losses. The euro/dollar pair has fallen to 1.1927, while the euro/pound has dropped to 0.9231. The pound/dollar […]
Second Estimate 2Q2017 GDP Growth Improves To 3.0 %
The second estimate of second quarter 2017 Real Gross Domestic Product (GDP) was increased to a positive 3.0 % from the advance estimate’s 2.6 %. Year-over-year growth was also increased from the advance estimate. Analyst Opinion of GDP The consumer spending improved, but the real improvement came from using a lower inflation deflator. I am not a […]
BEA Revises 2nd Quarter 2017 GDP Growth Upward To 3.04% – Wednesday, August 30
In their second estimate of the US GDP for the second quarter of 2017, the Bureau of Economic Analysis (BEA) reported that the US economy was growing at a +3.04% annual rate, up +0.48% from their previous estimate and up +1.80% from the prior quarter. Consumer spending was revised upward to a +2.27% annualized growth rate (up […]
WTI/RBOB Algos Undecided After Gasoline Build, Production Dip
RBOB gasoline is at a 25-month high (and WTI has a $45 handle) as all attention is focused on the duration and impact of the storm (i.e. how long refineries will be closed?). Inventory and Production data this week will be of limited help to traders as it occurred before Harvey struck but API confirmed the […]
5 Excellent Value Stocks Based On Low PEG Ratio
The popularity of value investing is on the rise. The success of billionaire value investors like Warren Buffett further underscores the fact. Per a July Motley Fool article, over the past 50 years, his conglomerate Berkshire Hathaway’s stock has yielded a compound annual return of 20.8%. This indicates that an investment of $10,000 in 1965 […]
S&P 500 Index: A Single Day Beats The Entire Week!
Many market participants believe simple phenomena in the stock market are purely random events and cannot recur consistently. Indeed, there is probably no stock market rule that will remain valid forever. However, there continue to be stock market phenomena – even quite simple ones – that tend to persist for very long time periods. What […]
Is The Current U.S. Equity Market Rally Sustainable?
U.S. equities continue to be a beacon of growth on a year-to-date (YTD) basis. With a YTD performance for the S&P 500 of +11.6%,1 many debate whether drivers of this market rally are macroeconomic numbers, the turnaround in corporate earnings or something else. Is there anything we can say about whether this trend will continue? I believe our […]
Citi Starts BioMarin At Buy With $169 Per Share ‘Blue Sky Scenario’
Citi analyst Robyn Karnauskas started BioMarin (BMRN) with a Buy rating and $98 price target. The analyst sees approval of pegvaliase for the treatment of phenylketonuria, which has an FDA action date of February 28, 2018, as likely driving upside. BioMarin is an orphan disease company entering a period of profitability with three “controversial” programs, […]
How Much Is Too Much
The amount of monetary stimulus increasingly imposed on the financial system creates false signals about the economy’s true growth rate, causing a vast misallocation of capital, impaired productivity and weakened economic activity. To help quantify the amount of stimulus, please consider the graph below. Data Courtesy: Federal Reserve Federal Reserve (Fed) stimulus comes in two […]
