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Yahoo
27-05-2025
- Business
- Yahoo
Equity rebound, Dow Jones, dollar vs. gold: Market takeaways
Yahoo Finance Markets and Data Editor Jared Blikre breaks down three takeaways from the trading day, including the session's broad rebound in equities, the Dow Jones Industrial Average's (^DJI) and Dow Jones Transportation Average's (^DJT) performance, and a comparison between how the US dollar (DX=F) and commodities, such as gold (GC=F), are performing. To watch more expert insights and analysis on the latest market action, check out more Asking for a Trend here. US stocks surging post a comeback from Friday's losses. The move higher comes amid improved prospects for a US-EU trade agreement. Yahoo Finance's Jared Blikre joining us now with the trading day takeaways. Thank you, Josh. With another trading day detont, we got a risk-on market. That has been the theme of the day. And I'm not going to spend a lot of time on this. I just want to show you the smattering of markets that just did really well today. Most of these markets having their best day in at least two weeks. Arc Innovation Fund, number one. So, a lot of those smaller issues, although Tesla, one of the MAG 7 is front and center there. And then, speaking of Tesla, the MAG 7 ETF MAGS. Then, we got SOX, that's uh chip stocks. Then, we got New York Fang. Then, small caps. Then, defense and aerospace. Then, regional banks. The Qs. You get the picture here. Even retail up over 2%. So, a broad swath of equities doing pretty well today. And I had the chance to talk to, and this is on the back of the 30-year falling back below 5% today, and I think that was a key development because anytime the 30-year is punched north of 5% or threaten that, we've had some problems. And I did have the chance to talk to John Har last week on stocks and translation about, you know, the bond market and how it's kind of acting differently over the last few years than the prior 40. Here's what he had to say. After that 2022 bond bear market, uh 2023 was not a particularly good year for bonds either. A lot of them were calling for things to reverse in 2024. And that is a common strategy. You just say, hey look, mean reversion. Mean reversion loves it. Everyone loves mean reversion. It works well sometimes. It did not work well in 2024. 2024 was not a good year for bonds. So I think the bottom line for investors here, we got a new playbook that we got to realize and structurally higher rates are probably going to be a part of it, and we got to watch the 30-year. We got a bunch of auctions this week. We had the two today, we got the five and the seven coming up Wednesday, Thursday. Back to that risk-on thesis. The the bullishness we saw today, uh pretty broad-based, correct? You know, that was the case, and I was looking at the Dow markets. So, if you take a look at the Dow Industrials and the Dow Transports, and on the Yahoo Finance site, that is caret DJI and caret DJT. You got to put the caret there because that's not Donald J. Trump. Uh the Dow Transports have been around since 1886. This is a year-to-date chart. And look, the Dow, by the way, almost positive on the year, you can see. Still just slightly underwater. But here are the Transports, down 6.7%. But I'm going to put this chart on a basis uh from the April 8th low. And so that's from the bottom. You can see the Transports have been outperforming here. I'm going to give you a really quick look at today's heat map in terms of the Dow Industrials. Here's what they did. Ta-da! Just a few uh blights, Boeing and United Health. Nothing new there. And then here are the Transports. Everything in the green, led by Uber, the biggest one in terms of market cap. United Airlines one of the point winners up almost 5%. The dollar up today. What was behind that? Yeah, um really interesting. I think the European trade detente, uh at least postponement of any additional tariffs, that had a big uh deal with the dollar being up today. And this is a respite, and part of that, part of my concern has been that the US, that the world has been saying, sell dollars at any cost. Get rid of all US assets. But that was a story a month ago, uh two months ago. That has not been the story recently with this huge run-up since uh April 8th. But with the dollar up today, guess what that weighs on. And that's going to be commodities. So I'm going to show you real quickly what's been happening in commodity land today. You know, gold, we were talking about that several days last week, but it was one of the leaders to the downside today. Here, I'm just going to tap that. GC equals F down almost 2%. So we haven't seen a big decline in gold in a while. But here's the year-to-date chart. This still looks pretty bullish to me. I thought this was an M top. No, we've just got a bull flag right here, and we're just kind of zigzagging down. Uh need to find a catalyst to see if we can move up again. 3,500 is a big round number there. But today, the story in commodities is for the most part, they were sold. Should we do a final peek at Bitcoin? Yeah. Yes, sir. Uh let's just do that real quick because 110,000 has been kind of a sticking point. Um and we, if you look at the five day, you can see the record highs from 111, 112,000 last week, but we are right there. Here's the year to date. Now, I'll show you how bullish this chart looks after having eclipsed these highs from earlier in the year. So we'll see. Can Bitcoin finally lead equities to new highs as well? Stay tuned. Stay tuned. Thank you, buddy. Appreciate it. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27-05-2025
- Business
- Yahoo
Equity rebound, Dow Jones, dollar vs. gold: Market takeaways
Yahoo Finance Markets and Data Editor Jared Blikre breaks down three takeaways from the trading day, including the session's broad rebound in equities, the Dow Jones Industrial Average's (^DJI) and Dow Jones Transportation Average's (^DJT) performance, and a comparison between how the US dollar (DX=F) and commodities, such as gold (GC=F), are performing. To watch more expert insights and analysis on the latest market action, check out more Asking for a Trend here.
CNBC
22-05-2025
- Business
- CNBC
Transport stock charts aren't saying the economy is fine
Markets stabilized on Thursday after the dual sell-off in stocks and bonds, but a key corner of the equity market is blinking a caution light on the economy. The Dow Jones Transportation Average is headed for a losing week and has fallen back below its pre-April 2 Liberation Day levels. JB Hunt Transport Services and C.H. Robinson Worldwide have both dropped for four straight sessions. The performance of transportation stocks is often seen as a harbinger of the U.S. economy as they serve as an intermediary between producers and end customers. The chart of J.B. Hunt in particular is worrisome, as the stock is down more than 18% year to date. JBHT YTD mountain Shares of JB Hunt are trailing the broader market significantly in 2025. The struggles of transport stocks are not necessarily predictive of an economic downturn, but serve as a reminder that the outlook is still murky. Michael Reynolds, vice president of investment strategy at Glenmede, told CNBC that the odds of a recession have fallen in recent weeks due to the deescalation of tariffs on China and cautioned against reading too much into short-term moves over the past few days. However, his firm's outlook doesn't call for an economic boom, either, even as it sees upside ahead for stocks. "Are we going to get our trend 2-to-2.5% growth in 2025? We don't think so. But there is a sort of muddle-through scenario here that is quite a bit more constructive, I think, for risk assets," Reynolds said. Meager economic growth could be good enough to support corporate earnings and help put a floor under the equity market. However, simply avoiding a recession isn't great news for investors if it takes a large amount of deficit spending by the government to prop up growth, and pushes up bond yields at the same time. "You have a debt problem, there's three ways to get out: you inflate out, you grow out, or you default," John Luke Tyner, head of fixed income at Aptus Capital Advisors, told CNBC. "And we know that default's not an option. Significant austerity measures aren't an option because it doesn't get elected in D.C. ...so some combination of growth and inflation seems likely to persist to get out of this problem, and that's going to pressure long-term yields."
Yahoo
02-04-2025
- Business
- Yahoo
Is MicroAlgo Inc. (MLGO) the Popular Penny Stock on Robinhood to Watch?
We recently published a list of . In this article, we are going to take a look at where MicroAlgo Inc. (NASDAQ:MLGO) stands against other popular penny stocks on Robinhood to watch. The stock market is navigating a complex landscape influenced by geopolitical tensions, trade policies, and shifting investor sentiments. Recent developments, such as the U.S. administration's decision to impose tariffs on Canada and Mexico, have introduced volatility, with the broader market experiencing a 5.2% decline over the past month. The Trump administration's implementation of tariffs on imports from Canada and Mexico has raised concerns about potential economic repercussions. The Organization for Economic Cooperation and Development (OECD) forecasts that these tariffs could reduce U.S. GDP growth to 2.2% in 2025 and 1.6% in 2026. Additionally, Canada and Mexico are expected to experience economic slowdowns, with Canada's growth slowing to 0.7% and Mexico's economy contracting by 1.3% in 2025. The announcement and implementation of these have contributed to market volatility. The Dow Jones Transportation Average, which includes companies like FedEx and Delta Air Lines, has declined over 17% from its November peak, reflecting investor concerns about the economic impact of trade policies. However, despite these challenges, there are emerging opportunities, particularly in the realm of penny stocks. Penny stocks provide an accessible entry point for investors with limited capital. Their affordability allows individuals to diversify their portfolios without significant financial commitment. This characteristic is particularly appealing to novice investors seeking to enter the market. While large-cap stocks offer stability and generally lower volatility, penny stocks present an opportunity for considerably higher percentage gains due to their smaller size and the potential for rapid expansion into niche markets or through innovative products and services. Academic research also indicates that the higher risk associated with the smaller market capitalization and lower liquidity of penny stocks is often compensated by higher expected returns through size and liquidity premiums. For instance, a study titled 'On the Trading Profitability of Penny Stocks' examines the characteristics and pricing behavior of penny stocks, highlighting that these stocks are characterized by low liquidity and small market capitalization. The research suggests that these factors contribute to higher expected returns, aligning with the size and liquidity premiums observed in broader markets. The trade-off between risk and potential reward is a key factor that attracts growth-oriented investors to this segment. For this article, we performed an extensive analysis of leading financial websites to identify 12 penny stocks available on Robinhood. Our selection process was based on a consensus approach, where we considered only those stocks that consistently appeared across multiple sources during our research. We also considered hedge fund sentiment around each stock using Insider Monkey's data for Q4 2024. The stocks are ranked according to hedge funds having stakes in them. At Insider Monkey, we are obsessed with hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A technician in a lab coat analyzing the performance of a data intelligence service. No of hedge fund holders: 1 MicroAlgo Inc. (NASDAQ:MLGO) specializes in central processing algorithm solutions tailored for the internet advertisement, gaming, and intelligent chip industries. The company has unveiled an innovative multi-simulator collaborative algorithm based on subgraph isomorphism. It aims to break down the constraints of qubit numbers while maximizing the benefits of distributed computing to boost quantum computer performance. The algorithm dissects large quantum circuits into several smaller sub-circuits, distributing computational tasks across multiple quantum computers or simulators. Through this effective utilization of limited quantum bit resources, the algorithm enhances the execution efficiency of quantum circuits. MicroAlgo Inc. (NASDAQ:MLGO) has announced plans to issue new shares. It entered into a $20 million convertible bond purchase agreement on October 7, 2024, with a maturity period of 360 days. The bonds are convertible into common shares at a price equal to 70% of the lowest closing market price during the 60 trading days preceding the conversion request. Following a request from creditors, MicroAlgo Inc. (NASDAQ:MLGO) intends to issue new shares at $0.80 per share to fulfill the terms of the agreement. It is among the best penny stocks on Robinhood. Overall, MLGO ranks 12th on our list of popular penny stocks on Robinhood to we acknowledge the potential for MLGO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MLGO but that trades at less than 5 times its earnings, check out our report about the . READ NEXT: 20 Best AI Stocks To Buy Now and Disclosure: None. This article is originally published at .
Yahoo
21-03-2025
- Business
- Yahoo
Dow Transports index slump poses trouble spot as investors seek stocks stability
By Lewis Krauskopf NEW YORK (Reuters) - Even as U.S. stocks seek to regain their footing, weakness in a closely followed index of transportation shares is a sign of growing investor worries about the economy. The S&P 500 as of Thursday was on pace to post a weekly gain after four straight negative weeks. The benchmark index was clawing back after it marked a correction last week by ending down over 10% from its February record high. The Dow Jones Transportation Average was little changed for the week, but the 20-stock index has been pummeled recently. The gauge of airlines, truckers, rail companies, package delivery giants and other transport firms has slumped over 17% from its November all-time closing peak. "The transports are an important tell on future economic activity," said Chuck Carlson, chief executive officer of Horizon Investment Services. "The fact that they have significantly underperformed ... gives me pause." The Dow Transports is struggling as investors are concerned about an economic slowdown, driven in part by uncertainty over the fallout from U.S. President Donald Trump's back-and-forth tariff policies. The Federal Reserve on Wednesday downgraded its U.S. economic growth forecast this year to 1.7% from 2.1%, with central bank Chair Jerome Powell pointing to "unusually elevated" uncertainty. So far in 2025, the Dow Transports are down about 8%, doubling the drop for the S&P 500 index in that time. Weakness within the index has been broad. This year, shares of package delivery companies FedEx and United Parcel Service are down 12% and 7%, respectively. Trucking stocks Landstar and JB Hunt Transport Services are both off over 13%. Shares of airlines, some of which recently cut their earnings estimates, have been hit particularly hard. Delta Air Lines and United Airlines Holdings have tumbled over 20% in 2025, while American Airlines has dropped 35%. With many companies in the index involved in shipping products around the country, the Dow transports index offers insight into consumer spending, said Matt Maley, chief market strategist at Miller Tabak. "It's still an important indicator for the strength of the economic growth because it's an indicator of the level of strength of the consumer," Maley said. The index's slide is "supporting a lot of the weaker data that we've been seeing and supporting the lowering of expectations of economic growth around Wall Street," Maley said. Some investors track the transports index in concert with the Dow Jones Industrial Average to determine the overall trend of the market, known as "Dow Theory." The Dow industrials index is down 1% in 2025 and about 7% from its December record high. Aside from the Dow Transports, other indexes that investors cite as signals for the broader market or economy have posted steep declines. The Russell 2000, an index of smaller companies generally seen as particularly sensitive to the domestic economy's strength, is down 15% from its 52-week high in November. The Philadelphia SE Semiconductor index is down 22% from its July record peak. Semiconductors are key components in a broad array of products, so chipmakers are closely followed for insight into the economy. "They are all telling you the same message: There is potentially weakness underneath the hood of the U.S. economy," said Matthew Miskin, co-chief investment strategist at John Hancock Investment Management. A number of reports in the coming week will give a fresh read into the economy, including releases on consumer sentiment and consumer confidence. A key gauge of inflation, the monthly personal consumption expenditures price index, is due on March 28. Tariffs will remain in the spotlight for Wall Street, with the Trump administration planning reciprocal tariffs on April 2 to rebalance the global trading system. Heading into that deadline, the transportation stocks could be particularly volatile, said Rick Meckler, partner at Cherry Lane Investments. "They're at the center of the concerns investors have over tariffs and the potential for a slowing economy."
