Fear, because oil comes down or Interest Rates are coming down, bank stocks are going down sell sell sell. Or we can collectively roll up our sleeves and find out what high quality stocks are on sale simply because theyre caught up in the marketwide sell jot. Today paid off after initially getting obliterated, the averages rebounded nicely, to close down 255 points, the nasdaq inching down just 0. 39 . First lets get the negative going on. Whats really ailing the market is that all stocks trade together off of news that shouldnt produce such an how meteorology niced output. The negative goes like this something is ailing the europe banks. So are ouric banks stocks ranked to go down . Why not . Theyre acting hideously. It could be because they have more balanceoid loans than we dont know about, or maybe just theyre going down because theyre going down, the industry is collectively lying to us. They have all the huge exposure to European Banks. In other words, people are worried that the
That got clobbered when they reported earnings and roared higher. As people seemed to predict the bad news. Overlook it, or just said, hey, maybe it wasnt as bad as i thought. These stories are behind a lot of the recent rally. Including today with the rally 212 points. I ignored the fact that Kimberly Clark had fallen from 127 to 122 off the quarter, until the interview began. Right at the top of the intervie you just asked point blank, if the decline made any sense to him at all. Because it sure didnt make sense to me, given how well the company was doing. He promptly agreed. We went over not only was the quarter a miss, so to speak, but there were many line items much, much better than expected. It seemed obvious, that i did a little homework. They did the big pirouette and surged from 122 to 133. 50, hitting an alltime high. The sellers they were just plain wrong. Next up, lets talk clorox. Heres a similar situation. Sill love the quarter. Because it showed some incredible margin i
Eyre goindownthe in collectively lying to us. They have all the huge exposure to european banks. Oer words, peop a worrd th tres systec risk, that havt yet happened again, and for the report migh not happ at all again, but w ve torscared o oour ts, because thats what we 2011 and decided to sell evyt, cause the market went count 1. There,hats the scenario plus oil is going down. We he Oil Executives chattering aut h wll hav p crude iswimmingools, becathes so lit storage spleft. I thought it was a coen but the oil futures guy realize sangero to n oithe ma bounced somewt when once again we heard prs ports i cou have said lies but th the might be an emergency oc meeting. At after crude fell. Its lowest level since 2003. The rumor was certainly right on time. Call me cynica maybe stock marks right and oi going higher, b every rur about pructi cuttg has enro, soets presume this is, too. Repe the scenario, wheit plummet fred almost exactly where it is now wn to ten bucks in a very short perio
The Federal Reserve is putting itself on hold. C p lets not talk about rate hikes. Developing. Themselves which leaves earn ings. Veve thats the strong suit around here on mad money. Bottoms up analysis. Look what managers have been able to achieve despite slowing growth, a weaker overseas market and a bizarre down shift in Consumer Spending for many items, particularly fashion and apparel. Avit even as the consumer has more spare change in the pocket thanks to better employment and cheaper gas. With that in mind lets go to the game plan for next week. Monday starts with a company thats been in the crosshairs of washington. Om not for fundamentals. Thats allergan. Almost all candidates want prices down and mergers that s lower taxes like the deal that the foreign domicile is doing with pfizer which will result in an entity that can give itself a america. Allegan is a jersey company. New, not the island of. My Charitable Trust at action owners plus. Com has a significant position and th
Longer term if the stories change oar even better. Some from before earnings, and some from after positive interviews, so i know what im talking about. 5 to 615, but the wall street looking for 6. 40. I dont know i read the notes. Listened to the Conference Call and read the analyst comments. It seems like kimberlyclark had a lot of good things to say, there was some onetime missions that i do my best, by the way, not to look at the stock when i do this work, because im convinced the holders of so manywh stocks are renters, really. That to take your cue from the immediate action is just plain stupid, so i noticed the fact they had fallen from 127 to 122 off the quarter until the th interview began. Right at the top of the interview, i asked him make any sense to him at all . It for a close today. The sellers they were just plain wrong. Next up, lets talk clorox. Heres a similar situation. Sill love the quarter. Because it showed some incredible margin improvement because energy costs w