Monthly Archives: July 2017

German bonds may offer the clearest warning that the stock market’s bull run is sputtering

German bunds are trying to deliver a message to stock-market investors: Achtung!

According to market technician Tom McClellan, a narrowing yield spread between German 10-year bonds, known as bunds TMBMKDE-10Y, +0.00% and their U.S. counterpart TMUBMUSD10Y, +0.00% has historically been a bad omen for equity markets.

The yield differential between bunds, which were carrying a negative yield about a year ago and reached a record spread2.38 percentage pointson Dec. 28 with U.S. 10-year paper, has been on a tightening trend lately, illustrated by one McClellan chart (see below):

Source: McClellan Financial Publications

How is a narrowing spread in German bond yields a problem for U.S. stocks?

As McClellan explains it, a rising yield premium between German and U.S. government paper tends to be a market condition that has historically been supportive to higher moves in the Dow Jones Industrial Average DJIA, +0.61% S&P 500 SPX, +0.23% and Nasdaq Composite Index COMP, -0.49%

Ever since June 2009, the yield on the US 10-year T-Note has been higher than its German counterpart. It turns out that this is a pretty bullish condition, at least for as long as the spread between the two is rising. As a bull market ages, though, this spread shows the wearing out by displaying a divergence relative to prices. It can take many months for the divergence to finally matter, and bring a meaningful price decline. We are just now starting to see those first signs of such a divergence

McClellans chart shows that after a speak bund/Treasury spread, which has occurred in 1999, 2000, and 2010, equity markets unraveled. It isnt clear why this pattern has played out, but the market technician says the relationship has only been an effective predictor, albeit with some delays, since the 1980s.

The ominous bond pa ttern should be taken with a grain of salt, but it comes as Wall Street has closed a tumultuous week for fixed-income investors, following comments from global central bankers, including European Central Bank boss Mario Draghi, that may have stoked fears that easy-money policies, which have underpinned stock and bond valuations during this eight year-old bull market, are nearing an end.

Read: What happened to Mario Draghis silver tongue?

Although it isnt certain, ultralow yields may be behind us and the road ahead, despite signs of healthy but stuttering economic growth and stalled-out inflation, appears hazyat least to some bears.

That uncertainty helped to fuel a selloff in the bond market this week and reignited dormant volatility in stock benchmarks that have been scaling new heights at a record clip. Risk is back on the table and investors ought to be mindful of complacency. That is particularly true within the perceived safety of bonds t hat have enjoyed their own extended bull run.

Weekend Snapshot: Stock market poised to kick off July 4th week with fireworks of its own

Also read: Heres why the stock market is spooked by central bankers, Trump agenda delays

But last weeks Treasury moves should be a reminder of so-called duration risk, which can gut Treasury holders and bond-fund managers, who may be ill-prepared for sharp swings in bonds. For example, yields in 10-year paper saw a weekly climb of about 15 basis points, marking its biggest yield jump since March, according to WSJ Market Data Group. The 30-year bond climbed by about 12 basis points. Bond prices and yields move in opposite directions.

Those yield moves translate to a weekly price drop of about 1.5% for the 10-year, while the long bond slumped by a little mover 3% during the same period.

Check out: Central banks have set investors up for a long, hard road back to normal

Top 5 Casino Stocks To Invest In 2018

Patriot One is a Canadian-based technology company that has developed an advanced concealed weapons detection system that delivers real-time warnings to keep potential attackers at bay and to keep the general public safe and secure. “Using radar and machine-learning algorithms that interpret the signal that comes back, every metallic object they’re carrying will resonate with a very distinct frequency and the system has been trained to register the signature of different types of weapons,” said Martin Cronin, CEO of Patriot One Technologies.

The cutting-edge technology created by Patriot One Technologies (OTCQB: PTOTF) (TSE: PAT.V) is available for use in airports, police stations and other government offices. It’s also available for use in stadiums, concert halls, night clubs and shopping malls. Anywhere that large numbers of people gather has the potential for installation of Patriot One’s system. Fortunately for any public or private entity that puts this concealed weapons detection system to work, there are no privacy law concerns “No image is retained. There are no privacy concerns whatsoever with respect to it. There’s no data that’s being retained, it’s simply detecting items on an individual,” said John Gillies, retired assistant director of CSIS, the Canadian Security Intelligence Service. Westgate Las Vegas Resort & Casino has implemented a trial of Patriot One’s revolutionary concealed weapons detection technology in order to evaluate integration capabilities with existing in-house security systems. Having long been an iconic landmark, Westgate Las Vegas Resort & Casino is comprised of nearly 3,000 hotel rooms, including 305 suites located on 64 acres with a 74,000-square foot casino and 200,000 square foot convention center. The casino property is owned by Florida-based Westgate Resorts, the largest privately held company in Central Florida. Today, Westgate Resorts encompasses 28 resorts with more than 13,500 villas across the United States. Westgate’s Chief Operating Officer Mark Waltrip said, “With this partnership, we are pleased to be moving ahead and look forward to deploying the product on-site and to integrating it with our existing security infrastructure. Hopefully this is the first of many deployments across our locations around the United States.”

Top 5 Casino Stocks To Invest In 2018: Greenhill & Co., Inc.(GHL)

Advisors’ Opinion:

  • [By Jim Robertson]

    For investors with a long memory, the Iridium communications service was launched on November 1, 1998 only for the founding company to go into Chapter 11 bankruptcy nine months later as the cost of service was prohibitive for many users. Iridium Satellite LLC was eventually merged with a special purpose acquisition company (GHQ) created by the investment bank Greenhill & Co. (NYSE: GHL) in September 2009 to form Iridium Communications.

  • [By Lisa Levin]

    In trading on Friday, financial shares slipped by 0.55 percent. Meanwhile, top losers in the sector included Greenhill & Co., Inc. (NYSE: GHL), down 11 percent, and SVB Financial Group (NASDAQ: SIVB), down 8 percent.

Top 5 Casino Stocks To Invest In 2018: MKS Instruments, Inc.(MKSI)

Advisors’ Opinion:

  • [By Monica Gerson]

    MKS Instruments, Inc. (NASDAQ: MKSI) is estimated to post its quarterly earnings at $0.33 per share on revenue of $177.19 million.

    Pioneer Natural Resources (NYSE: PXD) is projected to post a quarterly loss at $0.75 per share on revenue of $711.66 million.

Top 5 Casino Stocks To Invest In 2018: Nemaska Lithium Inc. (NMKEF)

Advisors’ Opinion:

  • [By SEEKINGALPHA.COM]

    Nemaska Lithium (OTCQX:NMKEF) provided a project update and announced a C$50 million bought deal with shares selling for C$1.05 a piece. The fresh funds will be put to work at the Whabouchi development project, which appears to be progressing well. Commercial-scale production is expected by Q1 2019.

  • [By SEEKINGALPHA.COM]

    Nemaska Lithium (OTCQX:NMKEF) has successfully commissioned the electrolysis cell of its Phase 1 plant in Shawinigan. More heavy lifting will be necessary before the lithium miner will be able to report successful processing of ore from its Whabouchi mine, but boxes are certainly ticked by this company.

  • [By SEEKINGALPHA.COM]

    The other producing lithium miners, and soon to be producers. I have discussed these previously in detail here, here and here. Needless to say, the top 3 producers are non-pure plays (SQM (NYSE:SQM), Albemarle (NYSE:ALB), and FMC Corp. (NYSE:FMC)). The top pure play currently producing miners are Orocobre (ASX:ORE) (OTCPK:OROCF), Tianqi Lithium (SHE:002466), Jiangxi Ganfeng Lithium, Galaxy Resources, Mineral Resources [ASX:MIN] (OTC:MALRF), and Neometals [ASX:NMT] (OTC:RRSSF). The near-term producers include Altura Mining [ASX:AJM] (OTCPK:ALTAF), Pilbara Minerals (ASX:PLS) (OTC:PILBF), Kidman Resources (ASX:KDR), Critical Elements, Nemaska Lithium (OTCQX:NMKEF) [TSX:NMX], Lithium Americas (OTCQX:LACDF) [TSX:LAC], Lithium X (OTCQX:LIXXF) (TSXV:LIX), Neo Lithium, and Bacanora Minerals (OTC:BCRMF) [TSXV:BCN], Advantage Lithium (OTCQB:AVLIF) [AAL], European Metals (OTCPK:MNTCF, ASX:EMH, AIM:EMH) and Pure Energy (OTCQB:PEMIF) [PE].

Top 5 Casino Stocks To Invest In 2018: Viking Therapeutics, Inc.(VKTX)

Advisors’ Opinion:

  • [By Lisa Levin]

    Viking Therapeutics Inc (NASDAQ: VKTX) shares dropped 39 percent to $1.17 after the company priced 7.5 million share offering at $1.25 per share.

Top 5 Casino Stocks To Invest In 2018: Qualstar Corporation(QBAK)

Advisors’ Opinion:

  • [By Jim Robertson]

    On Tuesday, our Under the Radar Moversnewsletter suggestedshorting small cap data storage systems stock Qualstar Corporation (NASDAQ: QBAK):

    Quelstar is essentially a mirror image of Pixelworks. That is, it’s not just the bearish undertow we want to tap into here. It’s the failure of QBAK to follow-through on today’s effort to break above the 100-day moving average line with today’s early effort. The market dared the bulls to play their hand, and as it turns out, they were bluffing. The sheer scope of the reversal bar in the meantime today confirms the downtrend.

  • [By Lisa Levin] Related CRMD Mid-Day Market Update: U.S. Stocks Turn Negative; AveXis Shares Spike Higher 12 Biggest Mid-Day Gainers For Tuesday CorMedix's (CRMD) CEO Khoso Baluch on Q4 2016 Results – Earnings Call Transcript (Seeking Alpha) Related BIOA Mid-Day Market Update: U.S. Stocks Turn Negative; AveXis Shares Spike Higher Mid-Morning Market Update: Markets Edge Higher; Tiffany Earnings Top Estimates BioAmber (BIOA) Q4 2016 Results – Earnings Call Transcript (Seeking Alpha) CorMedix Inc. (NYSE: CRMD) shares fell 27.5 percent to $1.50 after the company reported Q4 results and issued a business update. Bioamber Inc (NYSE: BIOA) shares tumbled 23.6 percent to $2.40. BioAmber reported FY16 adjusted loss of $1.07 per share on revenue of $8.3 million. The Medicines Company (NASDAQ: MDCO) shares dipped 20.9 percent to $41.62. Innocoll Holdings PLC (NASDAQ: INNL) shares fell 20.3 percent to $1.49. Innocoll posted a narrower-than-expected quarter loss, but revenue missed estimates. Stifel Nicolaus downgraded Innocoll from Buy to Hold. Rosetta Genomics Ltd. (USA) (NASDAQ: ROSG) shares declined 20.3 percent to $3.83. On Thursday, Rosetta Genomics disclosed a 1-for-12 reverse stock split. Esperion Therapeutics Inc (NASDAQ: ESPR) shares dropped 19.9 percent to $23.76. Esperion Therapeutics shares have jumped 106.19 percent over the past 52 weeks, while the S&P 500 index has gained 16.70 percent in the same period. AmTrust Financial Services Inc (NASDAQ: AFSI) tumbled 18.3 percent to $17.65. AmTrust Financial disclosed that it will delay its annual report filing for the fiscal year ended December 31, 2016. Qualstar Corporation (NASDAQ: QBAK) slipped 17.7 percent to $6.85. Qualstar reported a Q4 loss of $0.20 per share on revenue of $2.2 milli
  • [By Jim Robertson]

    On Thursday, our Under the Radar Moversnewsletter suggestedpreemptively shorting small cap data storage systems stockQualstar Corporation (NASDAQ: QBAK):

Best High Tech Stocks For 2018

Howard Schultz, who helped turn Starbucks into an iconic global brand as well known for its activism as its coffee blends, will step down from the role of CEO in April.

Schultz will become the companys executive chairman, concentrating on ramping up Starbucks Reserve Roasteries, a new premium experience that the company is betting on to boost growth worldwide, as well as the companys well-known forays into community activism. Kevin Johnson, the companys current president and COO will become the CEO,retaining the title of president.

In all my years at Starbucks I have never been more energized or exhilarated about the opportunities that lie ahead, Schultz said in a conference call Thursday afternoon. Im not leaving the company. Im here every single day, and Im going to contribute to what I consider a significant growth opportunity. …But Kevin and the team are in charge.

Best High Tech Stocks For 2018: China Aut omotive Systems, Inc.(CAAS)

Advisors’ Opinion:

  • [By Monica Gerson]

    China Automotive Systems, Inc. (NASDAQ: CAAS) is projected to post its quarterly earnings at $0.20 per share on revenue of $108.22 million.

    Affimed NV (NASDAQ: AFMD) is projected to post a quarterly loss at $0.18 per share on revenue of $1.71 million.

Best High Tech Stocks For 2018: TG Therapeutics, Inc.(TGTX)

Advisors’ Opinion:

  • [By Lisa Levin] Gainers Loxo Oncology Inc (NASDAQ: LOXO) rose 32.7 percent to $65.00 in pre-market trading after the company reported that larotrectinib trial demonstrated 76 percent confirmed objective response rate. Dynavax Technologies Corporation (NASDAQ: DVAX) shares rose 22 percent to $7.20 in the pre-market trading session after the company on Friday presented updated data for SD-101 in combination with KEYTRUDA. Puma Biotechnology Inc (NASDAQ: PBYI) rose 21.7 percent to $99.75 in pre-market trading as the company disclosed positive PB272 Phase 2 data from TBCRC 022 trial at ASCO17. Helios and Matheson Analytics Inc (NASDAQ: HMNY) shares rose 20.7 percent to $3.21 in pre-market trading after the company reported that RedZone has acquired all the assets of Trendit including three technology patents. Forestar Group Inc. (NYSE: FOR) rose 13.1 percent to $16.05 in pre-market trading after D.R. Horton, Inc. (NYSE: DHI) proposed to buy 75 percent of Forestar Group for $16.25 per share in cash. TG Therapeutics Inc (NASDAQ: TGTX) shares rose 12 percent to $15.50 in pre-market trading after the company said Phase 3 GENUINE trial met primary endpoint with TG-1101 + ibrutinib increasing overall response rate by >70 percent versuss ibrutinib alone. Gigamon Inc (NYSE: GIMO) gained 10.8 percent to $43.55. Reuters reported that Gigamon is exploring a potential sale. BioCryst Pharmaceuticals, Inc. (NASDAQ: BCRX) rose 8.7 percent to $6.00 in pre-market trading after the company announced Rapivab pediatric sNDA acceptance by the FDA. Array Biopharma Inc (NASDAQ: ARRY) rose 7.2 percent to $8.77 in pre-market trading after gaining 5.68 percent on Friday. Ehi Car Services Ltd (ADR) (NYSE: EHIC) shares rose 6.4 percent to $10.76 in pre-market trading. eHi Car Services posted Q1 earnings of $0.06 on sales of $89.43 million. Skyworks Solutions Inc (NASDAQ: SWKS) rose 5.9 percent to $114.79 in pre-market trading after gaining 0.69 percent on Friday. Sorl Auto
  • [By Brian Orelli]

    TG Therapeutics (NASDAQ:TGTX)rose 15% today, after an analyst at Jefferies initiated coverage with a buy and a $23 price target.

    So what

    Analyst action often has an effect on company’s stock price, especially in the short term, but today’s move may be exacerbated by an upcoming data release at the American Academy of Neurology meeting scheduled for Friday. Investors may have been jumping in today ahead of the binary event, hoping that Friday’s data will be positive enough to send the share price even higher.

  • [By WWW.THESTREET.COM]

    In the Lightning Round, Cramer was bullish on Treehouse Foods (THS) , TG Therapeutics (TGTX) , Kinder Morgan (KMI) , Magellan Midstream Partners (MMP) , Chesapeake Energy (CHK) and Arconic (ARNC) .

Best High Tech Stocks For 2018: U.S. Silica Holdings, Inc.(SLCA)

Advisors’ Opinion:

  • [By Peter Graham]

    The Q4 2016 earnings report formid cap proppant and fracking stock U.S. Silica Holdings Inc (NYSE: SLCA)is scheduled for after the market closes onWednesday (February 22nd). Proppant and fracking stockswere crushed by low oil prices; but with oil prices stabilizing, drilling activity coming back to the oil patches.

  • [By Tyler Crowe, Tim Brugger, and Jordan Wathen]

    With that in mind, we asked three of our contributors to highlight a company they will be following closely in the first quarter and why. Here’s what makes Adobe Systems (NASDAQ:ADBE), Charles Schwab (NYSE:SCHW), and U.S. Silica Holdings (NYSE:SLCA) worth following when the next earnings report comes out.

  • [By Peter Graham]

    The Q3 2016 earnings report for small cap proppant and fracking stock U.S. Silica Holdings Inc (NYSE: SLCA)is scheduled for after the market closes onThursday (November 4th). Proppant and fracking stocks have beencrushed by low oil prices, but the latest technical chart for U.S. Silica Holdings shows a nice comeback until recent weeks:

  • [By Peter Graham]

    A long term performance chart shows shares of CARBO Ceramics performing much worst than potential peersU.S. Silica Holdings Inc (NYSE: SLCA) and Hi-Crush Partners LP (NYSE: HCLP) which began recovering much earlier in 2016 while CARBO has not had much of a bump:

Best High Tech Stocks For 2018: Valhi Inc.(VHI)

Advisors’ Opinion:

  • [By Lisa Levin]

    In trading on Thursday, basic materials shares slipped by 0.61 percent. Meanwhile, top losers in the sector included Valhi, Inc. (NYSE: VHI), down 13 percent, and LSB Industries, Inc. (NYSE: LXU), down 7 percent.

Best High Tech Stocks For 2018: BioPharmX Corporation(BPMX)

Advisors’ Opinion:

  • [By Lisa Levin]

    Shares of BioPharmX Corp (NYSE: BPMX) were down 31 percent to $1.02 after the company announced the pricing of 3.6 million share common stock.

    Puma Biotechnology Inc (NYSE: PBYI) was down, falling around 22 percent to $27.53 after the company issued an update to the timeline for the filing of a new drug application. Puma Biotechnology will submit the NDA for neratinib in mid-2016. According to a press release, the decision was based on the company’s recent meetings with the U.S. Food and Drug Administration.

Best High Tech Stocks For 2018: SuperCom, Ltd.(SPCB)

Advisors’ Opinion:

  • [By Monica Gerson]

    Supercom Ltd (NASDAQ: SPCB) is estimated to post its quarterly earnings at $0.15 per share on revenue of $9.03 million.

    Posted-In: Earnings scheduleEarnings News Pre-Market Outlook Markets

Advanced Drainage Systems Inc (WMS) Chairman, President & CEO Joseph A Chlapaty Bought $202,800 of S

Chairman, President & CEO of Advanced Drainage Systems Inc (NYSE:WMS) Joseph A Chlapaty bought 10,000 shares of WMS on 06/15/2017 at an average price of $20.28 a share. The total cost of this purchase was $202,800.

Advanced Drainage Systems Inc designs, manufactures and markets thermoplastic corrugated pipe and related water management products in North and South America and Europe. Group operates through two segments: Domestic and International. Advanced Drainage Systems Inc has a market cap of $1.13 billion; its shares were traded at around $20.25 with a P/E ratio of 40.50 and P/S ratio of 0.94. The dividend yield of Advanced Drainage Systems Inc stocks is 1.25%.

CEO Recent Trades:

Chairman, President & CEO, 10% Owner Joseph A Chlapaty bought 10,000 shares of WMS stock on 06/15/2017 at the average price of $20.28. The price of the stock has decreased by 0.15% since.Chairman, President & CEO, 10% Owner Joseph A Chlapaty bought 30,000 shares of WMS stock on 06/07/2017 at the average price of $19.39. The price of the stock has increased by 4.44% since.

For the complete insider trading history of WMS, click here

.

Hot Low Price Stocks To Buy Right Now

Ford (NYSE:F) is known for its attractive valuation, it currently trades at around 7 times its 2017 projected earnings and has an attractive dividend yield of 5.36 percent. It also has a very low price-to-earnings ratio (P/E) compared to most other companies on the S&P 500. The stock trades at around $11 during the time I am writing this. However, after digging a little deeper, I have found that the future looks bearish for Ford.

The automobile industry is known to be a very cyclical industry and I, along with many other people, believe that the cycle has peaked after years of high demand. We are witnessing a downtrend in automobile demand. In March, US auto sales fell 1.6 percent; 1.56 million cars and trucks were sold in March, falling below the projected sales of 1.62 million cars and trucks. Sales are down 1.6 percent compared to the same month last year. Ford only sold 236,250 cars; this is a 7 percent decrease in sales compared to the prior month.

Hot Low Price Stocks To Buy Right Now: Summit Midstream Partners, LP(SMLP)

Advisors’ Opinion:

  • [By Matthew DiLallo]

    More often than not, when a company’s dividend starts approaching 10%, it’susually a sign that the market expects the payout to head lower in the very near future. However, for Summit Midstream Partners (NYSE:SMLP), that doesn’t appear to be the case. That’s because the pipeline and processing company can cover its payout with plenty of room to spare. In fact, it could actually resume distribution growth by year-end. While the company does have a large financial hurdle to overcome in the future, it has plenty of time to find a solution other than cutting the distribution.

Hot Low Price Stocks To Buy Right Now: North American Energy Partners, Inc.(NOA)

Advisors’ Opinion:

  • [By Lisa Levin]

    In trading on Tuesday, energy shares slipped by 1.36 percent. Meanwhile, top losers in the sector included Northern Oil & Gas, Inc. (NYSE: NOG), down 9 percent, and North American Energy Partners Inc.(USA) (NYSE: NOA), down 6 percent.

Hot Low Price Stocks To Buy Right Now: Magellan Midstream Partners L.P.(MMP)

Advisors’ Opinion:

  • [By WWW.MONEYSHOW.COM]

    My more conservative income recommendation from a year ago, Magellan Midstream Partners (MMP), rose by 13% while yielding over 4%.

    Following last year’s excellent results, Magellan Midstream remains my Top Pick for income investors for the coming year.

  • [By Matthew DiLallo]

    For perspective, two of the highest rated MLPs by credit rating agencies are Magellan Midstream Partners (NYSE:MMP) and Enterprise Products Partners (NYSE:EPD). Recently, their leverage ratios were 3.5 times and 4.4 times, respectively. While both Magellan Midstream and Enterprise Products have seen their leverage ratios creep higher in recent quarters due to the oil market downturn and growth spending, neither is a concern.

  • [By WWW.THESTREET.COM]

    In the Lightning Round, Cramer was bullish on Treehouse Foods (THS) , TG Therapeutics (TGTX) , Kinder Morgan (KMI) , Magellan Midstream Partners (MMP) , Chesapeake Energy (CHK) and Arconic (ARNC) .

  • [By Dustin Parrett]

    Magellan Midstream Partners (NYSE: MMP) is a $17.56 billion company that transports and distributes petroleum. MMP is shaping up to be one of the best 2017 oil stocks.

  • [By WWW.THESTREET.COM]

    Cramer and the AAP team view the strength of corporations as most important in proving that stocks can handle current valuations. Find out what they’re telling their investment club members about Arconic (ARNC) , Apple (AAPL) and Magellan Midstream Partners (MMP) . Get a free trial subscription to Action Alerts PLUS.