Investors are pushing sector rotation toward more cyclical sectors and the former defensive leaders are lagging. Industrials are underperforming, with the aerospace and defense industry outgunning both the sector average and also the S&P 500 in total return year to date. Thomson Reuters StarMine has identified four aerospace and defense firms with strong characteristics: higher [...]

Over the past two years, investors have been favoring stocks that make their money inside the USA. In fact, Thomson Reuters discovered that 150 of these S&P 500 index members produced a total return of 15% versus the S&P 500’s 12%. Companies on the ‘Sold in the USA’ list include CVS Caremark (CVS.N), in consumer [...]

A rising U.S. stock market that doesn’t seem to want to pull back has made investors and forecasters nervous. Global economic indicators are softening — especially in bellwether Germany — and some pundits are saying there’s a bear market looming. So what’s a good way to batten down the hatches? A Thomson Reuters StarMine analysis [...]

According to market lore, “sell in May and go away” means investors should get out in the spring and buy back in the fall. Lately, however, following that advice has resulted in missed opportunities. Thomson Reuters looked at the behavior of the ten S&P 500 sectors since 2000 and found that the best offense for [...]

Summary: Lipper Fund Flows for the week ending April 17, 2013 showed $2.7 billion coming out of gold ETFs, although the appetite for equities remains positive. Inflows of combined equity mutual funds and equity ETFs increased also by about $2.7 billion. The largest chunk of that total, almost $2.0 billion headed toward international equities, showing [...]

From Warren Buffet to Sir John Templeton, the concept of value investing — finding equities that represent bargains — has been around for decades. But could this idea be used to group stocks according to country? A recent Thomson Reuters StarMine study suggests that the value approach may help identify nations that are attractive for [...]

Short sellers — investors who believe a stock’s price will go down — can get caught in the market equivalent of a horror movie if the price rises. So what’s a good method for possibly avoiding the terror of a short squeeze? We find that volatility is a key measure (rather than the usual indicators) [...]

A new perspective for understanding the three elements that have the greatest impact on stock prices. By aggregating the various StarMine model scores of individual companies into their respective economic sectors, our goal is to develop a bottom-up view of those sectors and to understand the three elements that play the greatest role in shaping [...]

Japan’s stock market is on a tear, backed by the Bank of Japan, now acting as decisively as the Fed in trying to drive down the value of its currency with the goal of transforming deflation into economic growth. It may work — but what are the pros and cons for investors pondering putting money [...]

Abstract:  Technical analysis of charts can be applied to any time frame.  This article examines monthly charts for the S&P 500 and the Russell 2000 indices since December 1999 and discusses the pros and cons of further market advances in the coming weeks and months from both a technical and fundamental standpoint. While current chart [...]