Decoupling of Investment in China
As the Covid-19 pandemic began, the USA had to go begging China to send protective masks made in China (by 3M). American had become dependent on a global supply chain to the extent that it had become a risk to national security. This situation had been decades in the making and the USA and other nations are taking actions. Decoupling of investment in China is a major part of this movement.
Renewable Energy Investments
The election of Joe Biden bodes well for renewable energy investments as the President-Elect calls climate change the greatest threat facing the human race. How can investors position themselves to take advantage of the coming emphasis on green energy? Is a focus on ESG investing sufficient or should you drill down and find specific investment opportunities? Here are a few thoughts on renewable energy investment in the Joe Biden presidency.
Covid-19 Vaccine Market Rally
Pfizer’s vaccine for Covid-19 is more than 90% effective in preventing the disease and markets everywhere have rallied. So far the Dow has out-performed the tech-heavy NASDAQ. Travel-related companies and airlines especially have rallied. Aircraft maker Boeing and industrial powerhouses like General Electric have also jumped up in price. How can you best profit from the Covid-19 market rally?
Is an Alzheimer’s Drug a Good Investment?
The Alzheimer’s drug, aducanumab, has been given a new lease on life after a phase III trial was previously halted. Unlike other treatments for Alzheimer’s disease, aducanumab has the potential to halt the progression of the disease instead of just treating symptoms. The drug was discovered by Neurimmune and is licensed by Biogen Inc. The medical significance if this drug passes all trials and becomes available for treatment is great. But, is an Alzheimer’s drug a good investment?
Post-election Stock Market Rally
What are the chances of a significant post-election stock market rally? A Biden victory coupled with Democratic control of the senate will stimulate the economy but will it stimulate the market?
Doji Candlestick Trading
The Doji is one of the dozen major Japanese Candlestick trading signals. It describes a trading session that opens and closes at virtually equal prices. It is a reliable indicator of market uncertainty but does not tell you the direction that the market is going next.
Is Exxon a Good Investment?
s the investing world has transitioned to more and more ESG investing, oil companies like Exxon have fallen out of favor with many. Is Exxon a good investment? After years as the leading oil company and a cash cow, Exxon’s revenue has fallen by a half and it was removed from the Dow Jones Industrial Average. It is planning to cut jobs and investments but is retaining its 8.7% annual stock dividend.
Double Top Investment Risk Signal
The stock market has largely recovered while the Covid-19 pandemic has driven the US economy down. A recent double peak investment risk signal warns of a coming market crash or correction. The double top or double peak is an extremely bearish technical reversal pattern
Your Investments and the US Economy
Although the US economy has come back a bit from the early days of the Covid-19 recession, it has a way to go. It is time to consider your investments and the US economy. How long will the Covid-19 pandemic last? Will central banks and governments continue to support credit and send stimulus payments? And, how will the combination of virus-induced recession, recovery measures and the state of the US economy affect your investments?