Caterpillar (CAT)

January 28, 2019

Stocks sank at the open this morning after Nvidia (NVDA) and Caterpillar (CAT) reported quarterly results. The Dow is currently down 340 points and the SPX is down 1%. A number of major market sectors are down more than 1%: tech, communications, industrials, healthcare, and energy. The VIX Index rose back to nearly 20, which shouldn’t cause much panic among traders. After all, we’ve had five consecutive weeks of gains for the stock market, and a pause (or some give-back) should be expected. Commodities are mostly lower today; WTI crude oil is back down around $51.60/barrel. Copper is up about 4% so far this year, which suggests some nascent optimism regarding China’s ability to stabilize their economy with fiscal stimulus. Bonds are trading slightly higher today. The 5-year and 10-year Treasury yields dipped to 2.57% and 2.73%.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

June 15, 2018

Stocks gapped down at the open (Dow -216 pts; SPX -.4%) on renewed trade war fears. The hardest-hit sectors are energy (-1.8%), industrials (-.8%,) and materials (-1.1%). The poster children for trade jitters, Boeing and Caterpillar, are down over 2% in early trading. Real estate, consumer staples and utilities are the only sectors in the green. The VIX Index jumped to 12.5. European markets are poised to close down about .5%. WTI crude oil is down 3% to trade around $64.60/barrel. Most other commodities are lower as well (gold -1.7%; copper -2.9%; ag products -1%). Bonds are responding positively. The 5-year and 10-year Treasury yields backed down to 2.79% and 2.92%, respectively.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

April 25, 2017

Stocks opened higher again this morning as traders digested earnings announcements. The Dow is currently up 230 pts and the SPX is up .57%. The Nasdaq rose over the 6,000 mark for the first time ever as Microsoft, Alphabet, Amazon, and Facebook continue to make new highs. In terms of major market sectors, materials and financials are leading the way, up 1% in early trading. The VIX Index sank back down under 11. European markets are poised to close slightly higher. Commodities are mostly higher but WTI crude oil is fading to around $49/barrel. There is clear support at $47/barrel. Bonds are falling in price for the second consecutive day. The 5-year Treasury yield is back up to 1.84% and the 10-year yield is at 2.31%. 


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.