MARKETS AT ALL TIME HIGHES
Wow, what a week on the market and what a week for jobs. Gold went limit down on Friday and miners got hammered. The Bank of England basically put an end to any sort of rate hike for the year and the jobs numbers propelled everything.
Housing is hot, markets are hot, interest rates are low, employment is good, wages are increasing. Can it keep going? I think so, as long as rates stay level. My only concern is deflation. As consumers get used to low prices and cutting back on spending this could be a problem eventually. Retail to me is still an uncertain juncture. Perhaps, we as consumers aren’t spending money on crap and rather activities and quality life. The $jwn and $gps of the world are just getting hammered. Yet, I don’t see it as a buy opportunity. Id wait a couple more quarters.
Stocks I still like.
$wynn- the story will come to fruition, last quarter wasn’t so hot but they have a good foothold in Macau which is so important.
$aapl- wow, never thought I would say this but I’m a believer. Now it ain’t gonna get to 130 anytime soon but a cash hoard of around 220 billion, margins near 40%, and a great dividend this is a good hold.
$ibb- I was very bearish on biotechnology with the election coming up but the markets don’t seem to care.
$nke- the one retail stock I can recommend. Leaving golf equipment was a smart move. Tiger woods ain’t Doing shit and he’s basically your brand.
Until next week