All posts in Stock Market Updates

South_agency/E+ via Getty Images Introduction Each year, the Russell indexes are rebalanced to incorporate new stocks and remove underperforming stocks. The FTSE Russell calls this event the annual reconstitution process. It begins with evaluations and “rankings” in May and moves into transition in June month. For the year 2022, from June 3, the preliminary selection lists will be communicated to the markets. Updates are provided after June 10th, 17th and 24th with the reconstituted indices it will take effect after the close on June 24 of this year. FTSE Russell Over the years, I have tested many published academic studies…

Goodbye July, it’s been a pleasure. Sentiment may finally be turning on Wall Street after the stock market posted its best month since November 2020, boosted by better-than-expected quarterly results from tech giants and the prospect of the Fed tapering future rate hikes . The major indexes are still down for the year, but we are clearly in the middle of a rebound. Where this rally will go is anyone’s guess. For now, Wall Street analysts are busy picking the stocks they think are best positioned for gains over the remainder of 2H22. These “Top Picks” are an interesting group…

images_lindsay This article was originally published for Reading The Markets subscribers on July 30, 2022 The S&P 500 (SP500) rallied dramatically in recent days. Some people have attributed this to the Fed’s “dovish” pivot, which in reality does not exist. But what does exist is the liquidity that has moved into the market in recent days as margin conditions have softened and uses of the overnight repo facility have stagnated. Last week, reserve balances at the Federal Reserve’s depository institutions rose slightly to $3.276 trillion from $3.235 trillion, not a significant overall change. But for July, reserve balances rose from…

US stocks sank on Thursday as investors weighed the potential economic costs of the Federal Reserve’s continued fight against inflation. The S&P 500 fell 3.25% to 3,666.77, its lowest level since December 2020. It also erased gains after rising 1.5% on Wednesday. The Nasdaq Composite fell more than 4%, sending the index down more than 30% year to date. The Dow sank 741 points, or 2.4%, to close below 30,000 for the first time since January 2021. Stocks, which initially moved higher after the Fed’s first 75-basis-point rate hike since 1994 on Wednesday, turned around as traders assessed the potential…

If there’s anything to hang your hat on during the current bear market in stocks, it’s that long-term markets tend to bounce back very well. The S&P 500 has been higher three years later in eight of the nine times the index has fallen 20% or more from its all-time high dating back to 1957, according to research by Truist co-chief investment officer Keith Lerner. The stock has returned an average of 29% over those eight instances. Interestingly, the stock has also rebounded strongly a year after falling 20% ​​or more from a peak. Lerner’s data show the S&P 500…

Fashion retailer Laura Ashley fell into administration during the pandemic © Charlie Bibby/Financial Times The accounting watchdog has “severely reprimanded” the auditor of fashion retailer Laura Ashley, which fell into administration during the pandemic. The Financial Reporting Council said on Wednesday it had fined UHY Hacker Young £300,000 as a result of failings in relation to its audit of the retailer. Martin Jones, an audit partner at the firm, has also been fined £45,000 and given a severe reprimand. The FRC said the penalties relate to Laura Ashley’s audits for the financial years ending June 2018 and 2019. The retailer’s…