As October begins, investors are gearing up for what promises to be another eventful month in the markets. With interest rates, inflation, and geopolitical tensions continuing to influence investor sentiment, October presents a unique set of challenges and opportunities.
The East Coast port strike is set to begin Tuesday, potentially costing the economy $5 billion per day. Here are the stocks analysts are watching.
Chinese stocks have extended their historic rally. The CSI 300 Index surged 8.5% on Monday, marking the largest single-day jump since 2008.
China announced a stimulus that is aimed at reaching the country's 5% GDP growth goal. Investors are betting that one area to benefit from stimulus is Macao's casinos.
Airbnb reported slowing demand in its second-quarter earnings, but that was before a soft landing seemed likely. EPR has a massive opportunity and just increased its ability to take advantage of it.
Small-cap stocks tend to benefit in a declining rate environment due to cheaper borrowing costs, increased investor risk appetite, and enhanced growth potential. While small-cap stocks can offer more upside than their large-cap counterparts, they can also come with higher volatility, which requires an added layer of analysis. SA Quant has identified five top Quant-rated small-cap stocks with positive factor grades, specifically momentum, growth, and profitability, that are well-positioned to benefit from the reduced rate environment.
The Investment Committee highlight some of today's winners and losers.
The falling interest rate environment could be a big catalyst for some lesser-known small-cap companies. Sky Harbour is a unique infrastructure company that could have tons of room for growth.
Spearheading Thursday's massive rally were the massive technology stocks which have become synonymous with the stock market boom in recent years, though several perhaps more surprising names were among the biggest gainers.
Arm Holdings should see a double benefit from the iPhone 16. Cirrus is the company with the biggest ties to the iPhone's success.
The Fed is expected to lower short-term rates soon, impacting distributions for investment vehicles like CEFs and BDCs. Investors should focus on both distribution paths and valuations of CEFs, as valuation changes can significantly affect portfolio wealth. BDCs, despite holding floating-rate assets, offer high dividend coverage and income diversification, making them attractive even in a rate-cutting cycle.
Recent market volatility has created attractive buying opportunities in high-yield stocks like Hercules Capital and Plains All American. HTGC offers a 10.4% total dividend yield, driven by a low-cost structure, strong portfolio performance, and robust operating fundamentals. PAA provides a very well-covered 7.3% distribution yield, supported by growing volumes, strong liquidity, and disciplined capital allocation.