The stock markets in the United States fluctuated declined, wiping out earlier gains today–the last trading session for 2014. The markets were negatively impacted by the weakness of equities in the utilities and telecommunications sector.
The S&P 500 was down 0.52%, the Dow Jones Industrial Average (DJIA) dropped 0.40% and the NASDAQ fell 0.37% at the time of this writing, around 2:37 in the afternoon in New York. The stock markets will be closed tomorrow for the New Year’s Day holiday.
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Abacab Asset Management's flagship investment fund, the Abacab Fund, had a "very strong" 2020, returning 25.9% net, that's according to a copy of the firm's year-end letter to investors, which ValueWalk has been able to review. Commenting on the investment environment last year, the fund manager noted that, due to the accelerated adoption of many Read More
Laszlo Birinyi, president and founder of Birinyi Associates, a research and investment management firm believed that the U.S. stocks will continue to enjoy a bull market into a seventh year.
“We think this is a protracted, durable bull market and we should not see anything on the downside. On a three to six-month horizon, things look good to us. There aren’t going to be any surprises.”
The equities in the United States have been experiencing an upward momentum in six years, and added approximately $15 trillion in stock value. The Federal Reserve maintained its low interest rates, which help double corporate profits. The Fed recently stated that it can be patient when it comes to increasing the interest rates.
Commenting on the interest rates, Birinyi said, “Rates at some point will pick up. We’re looking for a three-quarter of a percent rise by the end of next year. The economy has been a surprise for some time.”
Birinyo added that investors will continue to be interested in healthcare and technology stocks. He considers Google Inc as a “wonderful, long-term stock.”
He also believed that investors may also invest in a few stocks in the financials and industrial sectors. “You’ll continue to see telecom and materials stocks lag, and growth will continue to lead the market.”
- Dow Jones Industrial Average (DJIA) – 17,910.76 (-0.40%)
- S&P 500- 2,069.44 (-0.52%)
- NASDAQ- 4,759.99 (-0.37%)
- Russell 2000- 1,212.61 (-0.04%)
- EURO STOXX 50 Price EUR- 3,146.43 (+0.33%)
- FTSE 100 Index- 6,566.09 (+0.29%)
- Deutsche Borse AG German Stock Index DAX- 9,805.55 (-1.22%)
- Nikkei 225- 17,450.77 (-1.57%)
- Hong Kong Hang Seng Index- 23,605.04 (+0.44%)
- Shanghai Shenzhen CSI 300 Index- 3,533.71 (+2.20%)
Stocks in Focus
Civeo Corp (CVEO) gained more than 5% to $4.12 per share after the company announced that it will cut more than 1,000 jobs. The company regained some of its losses after suffering more than 50% decline over the past few days. The housing provider for workers of oil companies issued its operating guidance and cautioned investors that its financial situation could weaken next year.
The stock price of Eagle Rock Energy Partners, L.P. (EROC) climbed more than 12% to $2.27 per share. The stock is among the highest gainers on NASDAQ.
The shares of Neuroderm Ltd (NDRM) dropped more than 21% to $14.27 per share today. The stock gained more than 150% after the management of the company revealed that data from its mid-stage study for its drug for Parkinson disease showed promising results.