Bank of America (BAC): Financials – Diversified Financial Services | Reports July 18, before the open. The Estimize consensus calls for EPS of $0.46, three cents higher than Wall Street consensus and an increase of 28% YoY. Currently, the Estimize community is looking for sales of $22.25B, also higher than Wall Street’s $21.91B. Since Donald Trump was elected and the Federal Reserve began increasing rates the stock has been on a bullish run. Recently, BoA also passed the stress test which allowed them to raise their dividend to 48 cents a share which is a 60 percent increase. With the dividend hike and the passing of the stress...
Here is a table showing the annualized change in Headline and Core CPI, not seasonally adjusted, for each of the past six months. Also included are the eight components of Headline CPI and a separate entry for Energy, which is a collection of sub-indexes in Housing and Transportation. We can make some inferences about how inflation is impacting our personal expenses depending on our relative exposure to the individual components. Some of us have higher transportation costs, others medical costs, etc. A conspicuous feature in the year-over-year table is the volatility in energy, significantly a result of gasoline prices, which is also reflecte...
An August 2016 analysis outlined a long-term bullish signal for stocks that has occurred only ten other times in the last thirty-five years. If we fast forward to July 2017, is market breadth/volume aligning with or contradicting bullish data we have in hand? The chart below shows up/down volume (1996-2010) for the NYSE Composite Stock Index, along with its 50-week moving average (thick blue line). Notice how all-things-being equal, the probability of bad things happening increases when the 50-week moving average is flat or negative (see orange and red arrows below). Conversely, the probability of good things happening increases when the ...
The S&P 500 is marching higher, hitting multiple fresh highs amid Washington turmoil, geopolitical risks, decline in oil price and lofty valuation. The benchmark has risen about 9.8% in the year-to-date timeframe buoyed by strong corporate earnings, accelerating economic activity, continued job gains and improving consumer confidence. The trend is likely to continue in the weeks ahead as hopes of another strong earnings season and the Fed’s gradual tightening path has once again lifted the appeal for riskier assets. Per the latest Earnings Trends, Q2 earnings for the S&P 500 index are expected to be up 5.6% from the same period las...
Ticker Last High Low Daily Change (pip) Daily Range (pip) USD/JPY 112.74 112.87 112.33 19 54 USD/JPY may continue to give back rebound from the June-low (108.80) as market participants push back bets for the next Fed rate-hike. The Bank of Japan’s (BoJ) July 20 meeting is likely to spark a limited reaction in USD/JPY as Governor Haruhiko Kuroda and Co. stick to the Quantitative/Qualitative Easing (QQE) Program with Yield-Curve Control, and narrowing bets for higher U.S. borrowing-costs may continue to drag on the dollar-yen exchange rate as Chair Janet Yellen warns ‘the federal funds rate would not have to rise all that much further t...
Singapore is one of my favorite nations for the simple reason that it consistently gets very high scores from Economic Freedom of the World and the Index of Economic Freedom (as well as from Doing Business, Global Competitiveness Report, and World Competitiveness Yearbook). I also greatly admire Singapore’s for a 10-year period beginning in the late 1990s. Government spending actually shrank by a bit more than 1 percent per year, on average, over that decade. This reduced the burden of government spending to just 12 percent of economic output, almost as low as it was in North America and Western Europe in the 1800s. Unfortunately...
The term “ghost city” is a loaded one, often deployed to skew toward a particular viewpoint. In the context of China’s economy, it has become shorthand for perhaps the largest asset bubble in human history. While that may ultimately be the case, in truth China’s ghost cities aren’t about the past but its future. There is a great deal that is misunderstood about the country’s path toward urbanization and modernity. A lot of it is simply the scale; it is incomprehensible that 300 – 500 million people could be removed from rural subsistence to urban industry, and to do so in such a short period of several decades. These are no John...
The bullish trend is present in EUR/USD currency pair, 15 minutes chart. The price of EUR/USD currency pair is going to rise up now on a short-term basis to create a Bullish Impulse Elliott wave pattern and Spot Forex traders should consider taking a possible buy trading chance. Strong key support level is present at 1.1433 price level which is the ending point of bearish wave 4 leg. In my opinion, price action in EUR/USD currency pair has completed Bearish wave 4 corrective pull back. Based on Elliott wave forecast, bullish wave 5 is now in progress. So, I expect the market to resume the up trend and rise towards 1.1495 price area in coming...
I have not commented on the regional manufacturing reports much lately because they bear no resemblance to reality. Setting reality aside, let’s take a look at the Empire State Survey which kicks off another month of regional surveys. The Econoday consensus estimate for the Empire State region diffusion index was 15. The actual report was +9.8. Econoday praised this meaningless report as welcome. A little less strength is probably welcome in the New York Fed’s manufacturing sample where gains at times have been unsustainable. The Empire State index came in at 9.8 in July vs Econoday’s consensus for 15.0 and against June’s very ho...
Apparently taking lovability lessons from United Airlines (at least pre David Dao), ex-Uber boss Travis Kalanick and Pharma-bro Martin Shkreli, Wal-Mart (WMT) decided to lay down the hammer on suppliers telling them that they’ll be fined not only if deliveries are late but also if they’re early and that WMT will tolerate no disputes. Why is the company doing this? Will it help the mega merchant? What does this mean for investors? The mega-retailer is getting tough with its suppliers. Will that be productive? (AP Photo/Jae C. Hong, File) What’s Happening According to Bloomberg writer Matthew Boyle, this program “labeled ‘On-Time, I...