Weekly Stock Trader Newsletter, June 22, 2009
The Week Ahead: A long list of economic reports is slated to hit the markets starting with Tuesday's existing home sales report for May. The Federal Reserve's FOMC begins a two day meeting as well. Wednesday brings new home sales numbers and a durable goods report for May. The Federal Reserve will determine interest rate policy by afternoon. The Q1 final GDP report along with jobless claims is due by Thursday. Finally by Friday, the personal income and spending numbers come out as well as the consumer sentiment reading for June.
Stocks to Watch: Carmax Inc. (KMX) showed Q1 earnings flat year over year with a 17% drop in same store sales, but the stock managed a substantial gain on the news. Teekay Tankers (TNK) priced a 7 million share offering at $9.80 each creating a dilution possibility for existing shareholders. Sasol Limited (SSL), the world's largest producer of motor oil from coal warned that full year profits will fall 50% due to lower oil prices, and the stock reacted accordingly by falling back to its 50 day moving average.
Special Note: Some market analysts have commented that stocks have risen too far too fast and that sustained growth in the economy is needed to sustain current equity valuations. Of note recently is the noticeable increase in insider selling relative to insider buying which could be a hint as to what corporate executives feel about sustained growth going forward. The Fed's message this week is important in so far as any strong language that they intend not to raise interest rates.
Commentary provided by Barry Ward, Registered Principal, NobleTrading.com, Inc.
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Stocks to Watch: Carmax Inc. (KMX) showed Q1 earnings flat year over year with a 17% drop in same store sales, but the stock managed a substantial gain on the news. Teekay Tankers (TNK) priced a 7 million share offering at $9.80 each creating a dilution possibility for existing shareholders. Sasol Limited (SSL), the world's largest producer of motor oil from coal warned that full year profits will fall 50% due to lower oil prices, and the stock reacted accordingly by falling back to its 50 day moving average.
Special Note: Some market analysts have commented that stocks have risen too far too fast and that sustained growth in the economy is needed to sustain current equity valuations. Of note recently is the noticeable increase in insider selling relative to insider buying which could be a hint as to what corporate executives feel about sustained growth going forward. The Fed's message this week is important in so far as any strong language that they intend not to raise interest rates.
Commentary provided by Barry Ward, Registered Principal, NobleTrading.com, Inc.
Click Here To Open An Account
NobleTrading Direct Access Trading
NobleTrading.com Offers Online Stock Trading, Online Options Trading
Online Futures Trading, Online Forex Trading
Worldwide Brokerage Service, Day Trading Brokerage
posted by NobleTrading at
9:20 AM
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