The markets drifted for much of the morning but sellers quickly moved in following the release of recent Federal Reserve minutes. Calmer heads did prevail as the indices did manage to close off the lows of the session.
Gold mining shares continued to move toward the 52-week low range, as today’s cautious news out of Goldcorp (GG) have investors exiting the sector once again. Some of that money could be going into energy stocks, as oil supply numbers reported today were more favorable. Winners there included Chevron (CVX), Conoco Phillips (COP), and Exxon Mobil (XOM). We are still not sure about oil prices being able to sustain strength if economic conditions continue to stagnate.
Elsewhere, cautious Wall Street commentary had shares of Waste Management (WM), Dupont (DD), and Estee Lauder (EL) moving down early on. Finally, shares of Best Buy (BBY) got hit hard as one of its main competitors – HHGregg Inc.(HGG) missed badly on their earnings report.Market Pulse
We’re closely monitoring all the latest earnings developments and keeping an eye on valuations in our continued effort to make sure the Best Dividend Stocks List is up-to-date for investors looking to deploy new capital. As you’ve probably noticed, we’ve been holding off a bit lately on new additions.
As we enter the heart of the third quarter earnings season next week, we expect our level of activity to increase where we see opportunity. Outside of the daily bailout/austerity headlines, the earnings news we have heard from the likes of Nike (NKE) and Alcoa (AA) haven’t gotten us too excited. We expect a negative currency effect from the strength of the dollar to impact some key names we’re watching, so we’ll have to keep our pencils sharpened as far as estimates are concerned. In the meantime, patience is our best friend (as it usually is when it comes to smart dividend investing practices).Media Impact Fading (That’s a Good Thing!)
In what seems like an inevitable trend, Americans’ confidence in television news is at a new low by one percentage point. A recent study showed that only 21% of adults expressed “a great deal” or “quite a lot” of confidence in TV news. This level marks a decline from 27% last year and from 46% when Gallup started tracking confidence in television news in 1993.
My frustration with the media, especially on the business side, has been showcased often during my daily newsletter briefings. While a few experts on TV still deliver relevant information over the airwaves, for the most part, it is mostly noise and forced entertainment.
When it comes to making money over the long-term, the “instant results” generation is at a huge disadvantage. Most of the focus today (thanks to the business media) is on checking your financial scoreboard frequently. As a result, many modern market watchers are more like gamblers than real investors. It’s gotten to the point where most people will simply ask “What did the market do today?” to get a gauge on what direction stocks may be going.
Here at Dividend.com, we try and avoid the many pitfalls of the mainstream media. Our single goal is delivering consistent results! If you want to be entertained, though, I suggest taking in a movie or watching a sports event. Don’t put entertainment very high on your list when it comes to stock market coverage. Your portfolio will thank you.Our Beat The Markets with Dividend Stocks eBook Has Arrived!
We just debuted our brand new 275-page eBook, exclusively on Dividend.com! In this digital-only book, we look ahead to 2012 and the main factors that could affect dividend investors. A $39.95 value, the eBook is a free download for paid Dividend.com Premium subscribers.
Beat The Markets with Dividend Stocks contains a full economic forecast for 2012, including in-depth analysis on 65 of the biggest dividend stocks out there. It’s a great way to get prepared for your investing next year! So head over to the Dividend.com Premium homepage now to download your copy.
I hope everyone had a chance to check out our Dividend.com Premium members-only weekend articles , including new features that highlight some of the biggest winners and losers from the week that was, such as analyst upgrades/downgrades and earnings/story stocks. These articles are a great way to catch up on the week that was in the markets. We also have a rundown of how various Dividend ETFs performed on the week.
Thanks for reading everybody. I’ll see you tomorrow!