Taking Stock: A Lot of Good News Already Priced Into Stocks
Most capital gain bonds are due for a correction and that makes it more difficult to be a new buyer of stocks, bonds or commodities right now. All you have to do in the equity market is pull up a one-year stock chart on the S&P 500 Index and you’ll see the tremendous capital gain. The bonds Indian market has already priced in strong first-quarter earnings and, if companies don’t announce strong second-quarter visibility, I think share prices will retreat. With the economy so fragile in its recovery, investor sentiment can change on a dime. We saw this last summer when not a single piece of good news could motivate equity investors to be buyers. Then, as if a switch had flipped, sentiment turned and it wasn’t even during an earnings reporting season. Obviously, you can make money just buying bonds in India, the index during these major swings in sentiment. Now we’re at a point where it’s time for a break. Trading volume is low, not all the economic data are pointing to renewed growth, and some industry groups aren’t performing as well as others. If I had to describe the current trading action in stocks, I’d say the market was experiencing choppy optimism with a side of general malaise like Tax Free Bonds. You can Buy Bonds online, Invest in Bonds online, Zero Coupon Bond, Corporate Bonds, Government Bonds and also know types of bonds in India.
We’ll get a lot more direction from the stock market as we progress through this earnings season like Buy bonds in India. The financial sector is a key area that needs to report a substantial improvement. I’m still watching the railroads and retailers for overall market direction. One thing I think investors need to keep in mind going forward is that there is
already a lot of good news priced into the stock market. Right now we have interest rates that are unusually low, an unstated policy for a weaker dollar, improving corporate earnings, and strong growth from emerging markets. From a monetary perspective, things aren’t going to get any better. Interest rates are highly unlikely to go any lower (which the stock market generally likes) and price inflation is creeping into the economy. Fiscally, the Indian government is in a pickle and this means that new stimulus spending (on things like roads and infrastructure) is unlikely. Therefore, we have a situation from a policy perspective, and government institutions can’t do any more than they’ve already done. This means the stock market and investors are on their own. You can Buy capital Gain Bonds, Invest in capital Gain Bonds, How to Buy Capital Gain Bonds in India, 54 EC Bonds, Buy 54 EC Bonds online in India, How to invest in 54 EC Bonds from bondsindia I would say that the stock market isn’t expensively priced at this time, but fully priced. Therefore, I only expect incremental returns going forward. With that backdrop, a good dose of caution is appropriate if considering new positions. I don’t see any need for investors to rush into any new actions over the very near term. Retire on This One Hot Stock! This stock is up 232% since we first picked it. Our expert analysts say it will go up another 100% in the next 12 months! Our top 19 stock picks were up an average of 173.57% in 2010 (not a misprint). See where we are making money in 2011 and get our combined 100 years of investing experience working for you starting today. Check also- why to invest in higher rated bonds aaa, aa, a in india and how fed interest rate impact on indian bond market