China kept the world’s No. 2 stock market status for four years. GREG BAKER/AFP/Getty Images Since January of this year, the total equities in China’s stock market have tumbled by over $2 trillion, and most of the loss is due to the intensifying trade and tariff disputes with the U.S. started by President Donald Trump.As of this morning, China’s total equity value ($6.09 trillion) has fallen behind that of Japan ($6.16 trillion), losing its status as the world’s second largest financial market (after the U.S. at $31 trillion), a title China had kept for just months shy of four years, Bloomberg data shows.Evidently, the shuffling of stock market ranks didn’t have much to do with Japan’s rise but with China’s fall. This year so far, China’s CSI 300 index, representing major stocks listed on the country’s two exchanges (Shanghai and Shenzhen), has fallen by more than 17 percent, while Tokyo’s Topix index is down … [Read more...] about Because of the Trade War, China Has Lost Its Status as the World’s No.2 Stock Market
Stock markets
Apple Drives Stock Market’s Buyback Spree
Inc.’s big buybacks are underpinning the record spree of shareholder returns in the stock market. The iPhone maker, which is set to announce earnings after the closing bell on Tuesday, may have returned $25 billion to shareholders in the April-to-June period, according to a Goldman Sachs forecast. That would be a fresh record, topping its record […] … [Read more...] about Apple Drives Stock Market’s Buyback Spree
A favorite Warren Buffett stock market metric is at all-time high
Without question, Warren Buffett and the rest of Berkshire Hathaway's investment team incorporate many different metrics when evaluating prospective companies to acquire and stocks to buy. However, Buffett himself has mentioned one specific metric as the best indicator of stock valuations, and it has appropriately been nicknamed the "Buffett Indicator" in the investing community. Here's what the Buffett Indicator is, and why it may be signaling that the stock market is a bit overheated. The Buffett Indicator This is a metric that Buffett uses to get an overall feel for the valuation of U.S. stocks. In fact, he described it as "the best single measure of where valuations stand at any given moment" in a 2001 interview with Fortune Magazine. It's a fairly simple metric to calculate, too. Just divide the total market capitalization of all U.S. stocks by the latest gross domestic product, or GDP. Is it reliable? To be clear, no stock market metrics are 100% reliable at … [Read more...] about A favorite Warren Buffett stock market metric is at all-time high
Trump Trade War: U.S. stock market is faring better than China’s since dispute began
July 27, 2018 By MKE Community Journal Leave a Comment Article courtesy of USA TODAY via “The Rundown” But if you’re using the stock market as a measure of who’s winning the trade dispute, the U.S. has a clear lead over China and its other trading partners. While stock prices are just one way of gauging who’s feeling more of the ill effects of tariffs, there’s no disputing that shares of U.S. companies are performing better than China-based stocks and other foreign markets, says Alec Young, the New York-based managing director of global markets research for FTSE Russell. “There’s a lot of ways to judge this, and I expect a lot of twists and turns, but if we just look through the lens of the market, we’ve seen a much stronger U.S. stock performance,” Young says. The Standard & Poor’s 500, a stock index filled with America’s biggest companies that get more than 43 percent of their revenues from overseas sales, … [Read more...] about Trump Trade War: U.S. stock market is faring better than China’s since dispute began
ROBERT WOODS: The Stock Market (Cont.)
April 11, 2016 by Craig DeLuz In a prior article I talked about the Stock Market and their components. We will continue where we left off with a discussion about Stock Market Management and Market Capitalization. Management Styles There are two basic styles of stock market managers: Active and Passive. Active Managers are active players in the stock market. The goal: “Beat” the market by actively seeking securities that will “add value” to their portfolio through increased dividend yield and price appreciation. Passive Managers do not attempt to beat the market. They attempt to match the return of a broad market index such as the Dow Jones Industrial Average (DJIA), the S&P 500, and the Russell 3000 Indices. Manager Evaluation All Active and Passive money managers must be evaluated for their performance (they get graded too!). The most common method is to compare their Rates of Returns (ROR) to some kind of index. This index is called a Benchmark. … [Read more...] about ROBERT WOODS: The Stock Market (Cont.)