The summer of calm gave way to chaos today as all major indexes tumbled well more than 1%.
Jessica Kourkounis/Getty Images
The S&P 500 dropped 2.5% to2,127.81 today, while the Dow Jones Industrial Average fell394.46 points, or 2.1%, to 18,085.45. The Nasdaq Composite tumbled 2.5% to 5,125.91. The CBOE Volatility Index, or Vix, soared 40% to 17.50, the most since Brexit.
The market’s selloff is being blamed on the increasing likelihood for a September rate hike, and who are we to argue. Deutsche Bank’s Alan Ruskin doesn’t think the Fed should let the market dictate monetary policy:
The Fed has to break the cycle of the market having too much sway over their own policy and now is as opportune moment as any. It is thoroughly unhealthy for the market and policymakers to look at a low probability for a hike and conclude that it is too low for the Fed to tighten, which then becomes self determining, and the key factor driving the probability down! This gives the market way too much power over policy – especially when the market appears intent on ignoring Fed speak. One Fed hike that goes against the market probabilities, and in favor of Fed jawboning will get the market to listen to the Fed in the future. This lesson is long overdue, and consistent with the Feds stated desire of being less predictable than in the 2004 – 2006 cycle.
Best Bank Stocks To Own Right Now: MicroStrategy Incorporated(MSTR)
- [By Chris Neiger]
MicroStrategy (NASDAQ:MSTR) reported its first-quarter results on April 27, and the company saw its total revenue tick up by 1.3% year over year. Just as with the company’s fourth-quarter results, MicroStrategy’s management said foreign-currency headwinds continued to have a negative impact on the company’s overall sales.
- [By Jim Robertson]
Small cap Alarm.com Holdings would bethe leading platform for the intelligently connected property. Millions of people depend on Alarm.com Holdings technology to monitor and control their property from anywhere. Centered on security and remote monitoring, the Companys platform addresses a wide range of market needs and enables application-based control for a growing variety of Internet of Things (IoT) devices.Its security, video monitoring, intelligent automation and energy management solutions are available througha network of thousands of professional service providers in North America and around the globe. The Company went public in June 2015 as a spinoff from MicroStrategy Incorporated (NASDAQ: MSTR) with shares selling for $14 during the IPO.
Best Bank Stocks To Own Right Now: Prestige Brand Holdings Inc.(PBH)
- [By Ben Levisohn]
Castor believes the cash has disappeared into working capital, which has grown from 23% to more than 50% since 2008. Comparable company PrestigeBrand (PBH) uses 11%; Unilever(UL) and Colgate-Palmolive(CL) far less.
Best Bank Stocks To Own Right Now: TiGenix NV (TGXSF)
- [By SEEKINGALPHA.COM]
Leuven, Belgium-based Tigenix (OTC:TGXSF) filed to go public in the U.S. in late 2015, only to become entangled with Bavarian Nordic (OTC:BVNKF) and Basilea Pharmaceutica (OTC:BPMUF) as the European drugmakers pulled back from NASDAQ. Tigenix subsequently increased its bank account following a 23.75 million placement in Belgium, and added an additional 25 million via a relationship with Takeda, before coming back to Wall Street in October 2016 with a revamped slate of underwriters.
Best Bank Stocks To Own Right Now: Alaska Air Group, Inc.(ALK)
- [By Ben Levisohn]
Alaska Air Group (ALK) has advanced 1.3% to $94.55 after getting upgraded to Buy from Hold at Stifel.
Shake Shack (SHAK) has risen 1.7% to $33 after getting upgraded to Neutral from Underperform at Wedbush.
- [By Ben Levisohn]
Airlines like United Continental (UAL), Alaska Air Group (ALK) and JetBlue Airways (JBLU) have been so cheap for so long now, that making an argument for big gains based solely on valuation seems remarkably foolish. Thankfully, it’s not the only argument that Barclays analyst Brandon Oglenski make as they initiated the sector with a Positive rating, while calling United Continental the “most compelling stock” in the airlines sector. They explain why:
- [By Paul Ausick]
The best airline, overall, was Alaska Air Group Inc. (NYSE: ALK). Other category winners were Spirit Airlines Co. (NASDAQ: SAVE), which was ranked cheapest; Alaska rated most reliable; JetBlue Airways Inc. (NASDAQ: JBLU) was most comfortable; best for pets was Alaska; and the airline receiving the fewest complaints was Southwest Airlines Co. (NYSE: LUV).
Best Bank Stocks To Own Right Now: Boot Barn Holdings, Inc.(BOOT)
- [By Peter Graham]
Small cap apparel retailerBoot Barn Holdings (NYSE: BOOT) is the 4th most shorted stock on theNYSE with short interest of 54.59% according to Highshortinterest.com. Boot Barn Holdings is the nations leading lifestyle retailer of western and work-related footwear, apparel and accessories for men, women and children. The Company operates 219 stores in 31 states, in addition to an e-commerce channel www.bootbarn.com. The Company also operates www.sheplers.com, the nations leading pure play online western and work retailer. Sheplers has been part of the western, outdoor, and work lifestyle for over 100 years. Beginning in February 2017, the Company has operated www.countryoutfitter.com, an e-commerce site selling to customers who live a country lifestyle.
- [By Lisa Levin]
Boot Barn Holdings Inc (NYSE: BOOT) shares dropped 15 percent to $6.30. Boot Barn reported weaker-than-expected results for its fourth quarter.
Shares of Endocyte, Inc. (NASDAQ: ECYT) were down 31 percent to $1.89 after the company issued clinical updates for EC1456 and EC1169, and announced plans to reduce workforce by 40 percent via restructuring. Endocyte said that it is continuing EC1169 program in taxane-exposed patients, but ending clinical development of EC1456 and EC1169 in taxane-na茂ve patients.
Best Bank Stocks To Own Right Now: Crescent Point Energy Corp (16)
- [By Kana Nishizawa]
China Coal Energy Co., the countrys second-largest producer of the fuel, sank 3.1 percent after the government said it will cut coal consumption. Sun Hung Kai Properties Ltd. (16), the worlds second-biggest developer, fell 1.4 percent after trimming its sales target. Gold producers led materials companies lower as the precious metal headed for its steepest weekly loss since June amid expectations the U.S. Federal Open Market Committee will next week decide to reduce stimulus.