With several major developments occurring around the world, many investors may wonder how they could affect their portfolios or their lives. Here are two of the current, newsworthy events and how investors may interpret them.

Libya

The oil from Libya totaled about 2 million barrels a day before the revolution, half of which was exported. About 1 million barrels a day are no longer available to the world. That isn't enough to really affect the price of oil for a long period of time. Plenty of other countries can supply that amount without straining their capacity. But they're unlikely to step in to fill the gap when oil prices are above $100 a barrel. That price should recede once the conflict finishes and a more stable government is in place.

Continue reading Comfort Zone Investing: Libya and Japan -- What They Mean for Investors

Comfort Zone Investing: Libya and Japan -- What They Mean for Investors originally appeared on BloggingStocks on Sat, 26 Mar 2011 10:30:00 EST. Please see our terms for use of feeds.

Friday's fourth-quarter GDP numbers offered more evidence that the economy is picking up steam, but one of the biggest obstacles to the recovery remains the stubbornly high unemployment rate. We'll find out whether there's been any movement on that front when employment data for January comes out this week. The Challenger Job-Cut report and ADP employment data are due Wednesday, and the government's unemployment rate on Friday. Another mild increase in jobs is expected, in line with the three-month average, but not enough to significantly reduce the unemployment rate.

Also look for the ISM manufacturing and nonmanufacturing indexes this week, as well as the Chicago PMI and the New York NAPM index. And Fed Chairman Ben Bernanke will speak to the National Press Club on Thursday.

Continue reading Week in Preview: January Employment Data, UPS Earnings and More

Week in Preview: January Employment Data, UPS Earnings and More originally appeared on BloggingStocks on Sun, 30 Jan 2011 12:30:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Xilinx (XLNX) to buy from hold at Auriga.
• Orion Energy (OESX) to buy from neutral at Roth Capital.
• Goodyear Tire (GT) to buy from fair value at CRT Capital.
• RadioShack (RSH) to neutral from underperform at Wedbush.
• Novo Nordisk (NVO) to buy from neutral at Goldman.

Continue reading Analyst Calls: ADBE, CE, CISG, DOW, ELN, GT, NSC, NVO, RSH, XLNX ...

Analyst Calls: ADBE, CE, CISG, DOW, ELN, GT, NSC, NVO, RSH, XLNX ... originally appeared on BloggingStocks on Tue, 25 Jan 2011 12:00:00 EST. Please see our terms for use of feeds.

The earnings crunch continues this week, and analysts surveyed by Thomson Reuters are anticipating lots of strong quarterly reports.

For example, year-over-year earnings growth from big oil Chevron (CVX), ConocoPhillips (COP), ExxonMobil (XOM) and Royal Dutch Shell (RDS.A) are expected to be in double digits. The same is true of many other energy and mining concerns reporting this week: Allegheny Technologies (ATI), Alliant Energy (LNT), Arch Coal (ACI), Cliffs Natural Resources (CLF), CMS Energy (CMS), CONSOL Energy (CNX), DPL (DPL), Hess Corp. (HES), Minerals Technologies (MTX), Pioneer Natural Resources (PXD), PPL Corp. (PPL), Southwestern Energy (SWN), Total (TOT), Whiting Petroleum (WLL), Williams Companies (WMB) and Wisconsin Energy (WEC).

Continue reading Week in Preview: The Earnings Crunch Rolls On (MSFT, COP, V)

Week in Preview: The Earnings Crunch Rolls On (MSFT, COP, V) originally appeared on BloggingStocks on Sun, 24 Oct 2010 12:30:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Piper Jaffray upgraded Duoyuan Global Water (DGW) to neutral from underweight, citing the potential for positive fundamental news flow through the end of the year, and upped its price target to $16 from $9.
• Jefferies upgraded Alcatel-Lucent (ALU) to buy from underperform, expecting a benefit from a significant ramp in EVDO software sales as mobile data growth accelerates.
• Myriad Genetics (MYGN) was upgraded at RBC Capital to outperform from sector perform with a $23 price target based on valuation and potential to be acquired.
• Goldman upgraded Mohawk (MHK) to neutral from sell with a $53 price target.
• Smithfield Foods (SFD) was upgraded to outperform from market perform at BMO capital with a $21 target.
• Priceline.com (PCLN) was upgraded to outperform from market perform at Morgan Keegan.

Continue reading Analyst Calls: ALU, BIG, COST, DGW, DOW, FO, GE, HON, MGM, MYGN, MON ...

Analyst Calls: ALU, BIG, COST, DGW, DOW, FO, GE, HON, MGM, MYGN, MON ... originally appeared on BloggingStocks on Wed, 13 Oct 2010 12:00:00 EST. Please see our terms for use of feeds.

On Wednesday, I noted a good short-hand for time-pressed investors who want to gauge whether or not it's a good time to start committing more money to stocks -- the U.S. Department of Labor's monthly Employment Situation report. It receives ample media coverage. In a summary: more than 125,000 jobs per month created consistently? That's bullish for the Dow.

Here's a second indicator: initial jobless claims. However, because jobless claims can fluctuate wildly due to idiosyncratic events (holidays, strikes, weather-related job cuts, etc.), use the 400,000-level barometer.

Continue reading Dow Clue #2: Keep an Eye on Jobless Claims, Over Quarters

Dow Clue #2: Keep an Eye on Jobless Claims, Over Quarters originally appeared on BloggingStocks on Thu, 02 Sep 2010 18:30:00 EST. Please see our terms for use of feeds.

The obvious question many investors will ask, amid a Dow that surged ahead 200 points or so on Thursday, is "Does this mark a turning point for the market?" or 'Is now a good time to start committing more money to stocks?'

Let's ignore technical indicators for the moment, as more than one bullish fundamental indicator during this long recession -- an economic statistic or otherwise -- has signaled a "false rise" or a "sucker's rally."

Continue reading For Dow Clues, Monitor U.S. Job Growth

For Dow Clues, Monitor U.S. Job Growth originally appeared on BloggingStocks on Wed, 01 Sep 2010 17:00:00 EST. Please see our terms for use of feeds.

The aforementioned contradiction between oil's price and the slowing U.S. economy is apparently being resolved: The price of crude has dropped, and in a big way -- down about $10 in the past two weeks to $74.11 per barrel on Thursday at mid-day.

Crude's most recent push lower was propelled by yet another, disappointing U.S. initial jobless claims report, in which claims rose by 12,000 to 500,000 -- the highest level since November 2009; and by the latest Philadelphia Fed Survey data, which indicated that its regional economy is contracting.

Continue reading The U.S. Recovery Slows, and Oil Drops to $74

The U.S. Recovery Slows, and Oil Drops to $74 originally appeared on BloggingStocks on Thu, 19 Aug 2010 15:30:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Auriga upgraded Leap Wireless (LEAP) to buy from hold following the company's Q2 results and analyst day, citing valuation, longer-term potential for consolidation and prospects for business improvements. Despite upgrading, the firm lowered its target for shares to $16 from $19.
• Goldman upgraded Barnes & Noble (BKS) to neutral from sell following the company's announcement to explore strategic alternatives. The firm raised its price target to $15 from $12.
• RBC Capital upgraded ESCO Technologies (ESE) to sector perform from underperform following the better-than-expected Q3 report. The firm raised its price target to $30 from $28.
• MetLife (MET) was upgraded to buy from neutral at BofA/Merrill.
• Priceline.com (PCLN) was upgraded to buy from hold at Stifel Nicolaus.
• HSBC (HBC) was upgraded to outperform from underperform at CLSA.

Continue reading Analyst Calls: AMD, BKC, BKS, BP, DOW, HBC, LEAP, LLY, MET, PCLN, ...

Analyst Calls: AMD, BKC, BKS, BP, DOW, HBC, LEAP, LLY, MET, PCLN, ... originally appeared on BloggingStocks on Wed, 04 Aug 2010 11:30:00 EST. Please see our terms for use of feeds.

Continue reading Closing Bell: Markets Still Acting Range-Bound (KGC, PG, PFE, DOW, CTSH, RIMM)

Closing Bell: Markets Still Acting Range-Bound (KGC, PG, PFE, DOW, CTSH, RIMM) originally appeared on BloggingStocks on Tue, 03 Aug 2010 16:20:00 EST. Please see our terms for use of feeds.

Continue reading U.S. Economic Uncertainty Creates a Range-Bound Dow

U.S. Economic Uncertainty Creates a Range-Bound Dow originally appeared on BloggingStocks on Wed, 28 Jul 2010 17:00:00 EST. Please see our terms for use of feeds.

• In 1929, the market fell 49% from its high. In 2008, the drop was 52%
• Following the 1929 crash, the market recovered 46%. After the 2008 crash the market rose 69%
• Following the 1930 recovery, the next leg down following the rebound exceeded targets by 28%
• If this is the next leg down in the current market, he is looking for Dow 8,400. However, if it exceeds his target, he then projects Dow 7,500 in 2010.

Continue reading Dow Could Fall to 7,500 if 10,600 Is Not Breached, Analyst Says

Dow Could Fall to 7,500 if 10,600 Is Not Breached, Analyst Says originally appeared on BloggingStocks on Mon, 19 Jul 2010 10:00:00 EST. Please see our terms for use of feeds.

Continue reading DOW Breaks 10,000 for the 10,000th Time

DOW Breaks 10,000 for the 10,000th Time originally appeared on BloggingStocks on Thu, 08 Jul 2010 15:20:00 EST. Please see our terms for use of feeds.

Continue reading Early Financial Fireworks Hit the Markets; Will the U.S. Emerge the Leader in the Second Half of Year?

Early Financial Fireworks Hit the Markets; Will the U.S. Emerge the Leader in the Second Half of Year? originally appeared on BloggingStocks on Fri, 02 Jul 2010 15:00:00 EST. Please see our terms for use of feeds.

So, how is that Summer of Recovery working out? Following Tuesday's drop, the market was slightly lower Wednesday morning thanks in part to the ADP payroll report. According to the report, employers added 13,000 jobs in June, falling short of the consensus estimate for 60,000 jobs. This data looks at private-sector jobs only and suggests that payroll gains were tame in June thanks to small businesses that were cutting jobs.

All of Wednesday morning's news wasn't bad, as the European Central Bank (ECB) offer of three-month funds came in short of expectations. This data means that the region's banks may not be as ECB-dependent as some thought. In addition, the financial sector is prospering as the exposure to European banks was made to appear a bit less toxic. Furthermore, Democrats in Congress decided to take a bank tax off the table in the new financial overhaul bill. This move has helped bring Republicans on board and makes the bill look like it may pass.

Continue reading Dow on Verge of Worst Second Quarter Since 2002

Dow on Verge of Worst Second Quarter Since 2002 originally appeared on BloggingStocks on Wed, 30 Jun 2010 11:45:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Raymond James upgraded Research in Motion (RIMM) to outperform from market perform based on valuation. The firm has a $70 price target on the stock.
• Macquarie upgraded Halliburton (HAL) to outperform from neutral and has a $40 price target on the stock. The firm said recent pressure pumping activity is above their expectations and pricing has firmed.
• Canaccord upgraded Baldor Electric (BEZ) to buy from speculative buy, citing improving business trends and the upcoming mandatory transition to premium efficiency motors. The firm has a $47 price target on the stock.
• Wells Fargo upgraded Williams-Sonoma (WSM) to outperform from market perform.
• Medco Health (MHS) was upgraded to conviction buy from buy at Goldman.
• Repsol (REP) was upgraded to buy from neutral at BofA/Merrill.

Continue reading Analyst Calls: AMZN, BCS, BEZ, DOW, FSLR, HAL, HBI, PFE, RIMM, WSM ...

Analyst Calls: AMZN, BCS, BEZ, DOW, FSLR, HAL, HBI, PFE, RIMM, WSM ... originally appeared on BloggingStocks on Mon, 28 Jun 2010 11:40:00 EST. Please see our terms for use of feeds.

Continue reading The Dow Rises, Falls, and Sometimes Meanders for a Long Time

The Dow Rises, Falls, and Sometimes Meanders for a Long Time originally appeared on BloggingStocks on Wed, 02 Jun 2010 17:30:00 EST. Please see our terms for use of feeds.

Continue reading Contrarian Investing and Large Drops, Profitable or Wreckless?

Contrarian Investing and Large Drops, Profitable or Wreckless? originally appeared on BloggingStocks on Wed, 26 May 2010 09:00:00 EST. Please see our terms for use of feeds.

With the Dow looking set to open below the 10,000 level this morning, I decided to take a look at some technical statistics for the blue chip barometer. I was looking for some sort of signal that the Dow may be ready to turn around, perhaps the Dow was near some sort of support. Perhaps there is some technical formation that this latest "slight correction" has come to an end.

Something I found was that it looks like the Dow may have set a double bottom in the 9,900 region. A look at a weekly chart shows that this region acted as support in February, sending the Dow to its latest rally. Last week, the Dow bounced off this level and staged a late-week turnaround. The question is whether the Dow can maintain the momentum that started last week. In addition, the Dow may have found a measure of support from its 20-month moving average.

Continue reading Has the Dow Set a Double Bottom?

Has the Dow Set a Double Bottom? originally appeared on BloggingStocks on Tue, 25 May 2010 12:00:00 EST. Please see our terms for use of feeds.

Continue reading Boeing Upgraded by Goldman Sachs

Boeing Upgraded by Goldman Sachs originally appeared on BloggingStocks on Mon, 10 May 2010 10:00:00 EST. Please see our terms for use of feeds.