Monday, August 24, 2015

Linear Technology (NASDAQ: LLTC) Now In A Bear Market

I have not been a fan of the technology sector for the past month and even penned a missive calling "tech leadership an illusion." While superstars such as Google (NASDAQ: GOOGL) were soaring, the rank-and-file tech stocks were actually lagging the market. 

Semiconductors have been some of the worst offenders. The benchmark PHLX Semiconductor (SOX) index actually started to fall in late May and has already sunk back to levels last seen in October.

There is an old bit of Wall Street wisdom that says to buy the strongest stocks in the strongest groups. This is based on the concept of relative strength. Research has shown that outperforming stocks tend to continue doing so. Conversely, the weakest stocks in the weakest sectors are likely to keep falling.  (more)

This Week On Wall Street: Seadrill Ltd (SDRL), Sarepta Therapeutics Inc (SRPT), Amgen, Inc. (AMGN)

Many investors were on edge this weekend after the stock market plummeted on Thursday due to China’s faltering stock market and concerns that the Fed will raise interest rates. Consequently, the Dow fell by 500 points, undoing the progress it had made all year. Despite the volatility, activity on Wall Street must go on. Although earnings season is coming to a close, there are still a handful of companies reporting earnings this week along with several biotechnology companies awaiting drug approvals. Here is what to look for in Seadrill Ltd (NYSE:SDRL), Sarepta Therapeutics Inc (NASDAQ:SRPT), and Amgen, Inc. (NASDAQ:AMGN)

Seadrill Ltd
Oil giant Seadrill Ltd is slated to announce second quarter 2015 earnings results on Thursday, August 27, after market close. The Street expects the company to post earnings of $0.63 per share on $1.18 billion in revenue, falling from $0.70 earnings per share on $1.22 billion in revenue year-over-year.  (more)

Government Properties Trust (NYSE: GOV) : Rent To Uncle Sam And Collect A 10% Yield

If you're going to be a landlord, then it's crucial to find good tenants -- ones that will never bounce a check, always pay on time and stick around for the long-term.
I've found a company that rents to the absolute most dependable tenant you can find: The U.S. Government.
You see, although Uncle Sam owns nearly 10,000 buildings, he's also the nation's largest renter.
And as it turns out, renting to the government is quite profitable.
Think about it... Government tenants tend to stay in the same office for decades without moving around, and they don't bounce rent checks. (more)

US Weekly Economic Calendar

time (et) report period ACTUAL forecast previous
8:30 am Chicago Fed national activity index July -- 0.08
9 am Case-Shiller home price index June -- -0.2%
9 am FHFA house price index June -- 0.4%
10 am New home sales July 520,000 482,000
10 am Consumer confidence Aug. 93.4 90.9
8:30 am Durable goods orders July
-1.0% 3.4%
8:30 am Weekly jobless claims Aug. 22 274,000 277,000
8:30 am GDP 2Q 3.4% 2.3%
10 am Pending home sales July -- -1.8%
8:30 am Personal income July
0.5% 0.4%
8:30 am Consumer spending July 0.4% 0.2%
8:30 am Core inflation July 0.1% 0.1%
8:30 am Trade in goods July -$61.8 bln -$62.3 bln
10 am Consumer sentiment Aug. 93.1 92.9