Negative Interest Rates in the USA are Unlikely – Week of May 11 – 15, 2020

By Kuldip K. Ambastha Jerome Powell, the Chair of the U.S. Federal Reserve, issued detailed comments this week. The American economy continues to be ravaged by the coronavirus pandemic. Additional fiscal support aid (e.g. another round of stimulus payments to Americans) will likely be needed for the American economy to recover. However, the Fed is …

What Caught Our Attention in the Investment World? – Week of September 26-30, 2022

By Kuldip K. Ambastha On Thursday, September 29, 2022, the stock price of CarMax, Inc. (KMX), a used vehicle retailer, dropped by -24.6% per share. The American company’s latest quarterly performance results disappointed Wall Street, especially from the perspective of earnings per share (EPS). The current landscape of high inflation, higher interest rates (making for …

What Caught Our Attention in the Investment World? – Week of January 18-21, 2022

By Kuldip K. Ambastha In this past trading week, the technology-heavy NASDAQ Composite Index (^IXIC) posted negative daily returns on all four consecutive trading days. (Monday, January 17, 2022 was not a trading day, due to this day being Martin Luther King Jr. Day.) The NASDAQ Composite Index entered into correction territory, with a correction …

What Caught Our Attention in the Investment World? – Week of May 10-14, 2021

By Kuldip K. Ambastha The Trade Desk, Inc. (TTD) is a global technology company in the digital advertising campaigns space. The company was founded in 2009 and is headquartered in California. Its stock went public in 2016. On Monday, May 10, 2021, the company’s stock saw a dramatic -26.0% loss for the trading day. Though …

Dow Jones Index Volatility – Week of June 8 – 12, 2020

By Kuldip K. Ambastha The Dow Jones Industrial Average (DJIA) had a volatile ride this past week, due to several factors. Comments from Jerome Powell (the Chair of the U.S. Federal Reserve), GDP forecasting, unemployment rate (and jobless claims) data, and coronavirus pandemic data all played their own significant parts in the DJIA activity. The …

GDP Contraction, the Fed, and the Dow Jones – Week of April 27 – May 1, 2020

By Kuldip K. Ambastha The Dow Jones had three down and two up days this week. The coronavirus pandemic has continued to wreak havoc all around the world, and the American capital markets were affected. During 1Q2020, the USA’s GDP (gross domestic product) annualized contraction rate was 4.8%. This figure was announced on Wednesday, April …

What Caught Our Attention in the Investment World? – Week of July 8-12, 2019

By Anil K. Ambastha and Kuldip K. Ambastha After testimony of the U.S. Federal Reserve Chairman Jerome Powell to the U.S. Congress where he indicated the possibility that the central bank may cut interest rates during its meeting later this month, some of the major stock market indices reached their all-time highs. The S&P 500, …