Tag: Dow Jones

  • Dow Jones Dropped More Than 300 Points, But Two Stocks Hold Gains

    Dow Jones Dropped More Than 300 Points, But Two Stocks Hold Gains

    3 min read

    Dow Jones Dropped More Than 300 Points

    The Dow Jones dropped more than 300 points after frustrating economic data stopped an early rally in the stock market on Tuesday. The stock market rally experienced a strong reversal. The rally appeared under more pressure as worsening U.S. manufacturing index activity renewed recession fears. JPMorgan Chase (JPM) dropped below a buy point, as Treasury yields declined. 

    The Institute for Supply Management’s manufacturing index declined to its lowest level previously seen in June 2009.

    The Dow Jones Industrial Average (DJINDICES:^DJI) and the S&P 500 (SNPINDEX:^GSPC) both lost more than 1%. All sectors declined, but industrial stocks were damaged the most.
    But some of the Dow Jones Index stocks made the largest gains, Apple (AAPL) and Visa (V). Apple stocks rose for 0,5% and Visa increased by 1,4%. Visa has been consolidating below the 50-day line the past three weeks after pulling back from a 184.17 buy point of a flat base.

    Apple scored a new high early and gained as the market reversed. It regained a 221.47 buy point of a flat base and continues in buy range from the entry. The market uptrend is under pressure, so you must be aware that all trading is riskier now.

    According to investors.com “investment banks, machinery, and telecom stocks led the downside among IBD’s 197 industry groups.” On the other side, long-term medical care, gold miners and food, and beverages were between the several groups resisting the decline.
    Hexcel (HXL) fell 6% to a two-month low, retailer Boot Barn Holdings (BOOT) sank 5% in below-average volume.
    Israeli medical technology company InMode (INMD) and Visa were some of the few IBD 50 stock winners with increases of 1% or more.

    The point is that just one strong market session could upgrade the whole picture, but if another large sell-off occurs could freeze the stock market rally. 

    China trade discussions will continue next week, but there are possible risks for the weak stock market rally.  Investors have been hoping for a China trade suspension of hostilities. That was the reason why the market wasn’t down on Monday. 

    The added uncertainty to the markets is the Trump impeachment inquiry. For now, it doesn’t make to much damage to the US stock market but investors may become more nervous because of all of that. 

    Is this a scary start to October?

    Markets are already in bubble territory. Dow, S&P experienced the worst day in more than 5 weeks after gloomy US manufacturing report. Manufacturers quoted the US-China trade war as pressing on demand and making materials more expensive, according to the ISM.

    “The disappointing data is only fanning long-standing fears of slowing global growth,” said Alec Young, managing director of global markets research at FTSE Russell.

    Stocks didn’t like this data pretty much.

    Investors came into Tuesday’s session, with increased emotion around the U.S.- China trade relationships hoping that it will come to an end soon. 

    But stocks dropped after the Institute for Supply Management (ISM) stated U.S. manufacturing activity dropped last month to its lowest level in a decade. The U.S.-China trade concerns caused that. The weak manufacturing data come from Europe too. All of that forced investors to sell equities and bought bonds.
    The market recognized the ISM report as a warning the trade war is taking increasing damage to the economy.

    What is next?

    Yes, Dow Jones dropped but investors are waiting for data from ADP and Moody’s Analytics. They are planned for release on Friday. For investors, it is a kind of preview to the government’s monthly job report. So, we will see.

  • Five Singapore Companies Listed by Dow Jones – Reviews

    Five Singapore Companies Listed by Dow Jones – Reviews

    5 min read

    Five Singapore companies are listed by Dow Jones

    by Guy Avtalyon

    According to Business Insider “, five Singapore companies on the Dow Jones Sustainability Index 2019 Asia Pacific, and two are on the World list.”

    And BusinessInsider added

    “On Tuesday (September 17), five of these firms -CapitaLand, City Developments, DBS Group Holdings, Sembcorp Industries, and ComfortDelGro – saw their initiatives recognized by the Dow Jones Sustainability Index (DJSI), which is seen as a key reference point for sustainability investment globally.”

    So, let’s see the inside of these Five Singapore companies.

    CapitaLand Ltd.

    Ticker SES(C31)
    Market cap $13,198.89M

    One of five Singapore companies on the Dow Jones list is CapitaLand. The main activity of this company is a real estate and consultancy services. CapitaLand Ltd. is the biggest real estate investor in Southeast Asia. It was founded in 2000 by a merger of DBS Land and Pidemco Land, two real estate investors in Singapore linked to the government. Temasek Holdings, Singapore’s wealth fund, holds an almost 40% share. CapitaLand is managed by CEO Lee Chee Koon.

    The majority of its assets are in Singapore and China. CapitaLand has plans to grow more in China. 

    About 80% of CapitaLand’s assets are in Singapore and China, where the company plans to expand more.

    The uniqueness and power of this company lie in developing many types of real estate such as shopping centers, apartments or individual projects. But CapitaLand owns The Ascot, one of the global biggest chains of international serviced apartments. Among other business, it holds 5 publicly listed real estate investment trusts and numerous private equity funds. For example, it privatized CapitaMalls Asia and immediately delisted it from the Singapore Exchange. The explanation was, it is a part of the restructuring. Australand Property Group was the part of CapitaLand but it has been sold.

    The parts of this company are in Singapore, Malaysia, and Indonesia under ticker CL SMI, China under ticker CL China, Vietnam and there is, also, CapitaLand International. The company is geographically separated. Each part is involved in the area from where operates.

    The CL International part involves in Europe, the US and the Middle East, but also in Singapore, Malaysia, Indonesia, China, and Vietnam. CapitaLand headquarter is in Singapore.

    You want to know: Singapore Stock Market – Why To Invest?

    City Developments Limited

    Ticker SES(C09)
    Market cap $6,481.47M

    Another one of five Singapore companies on the Dow Jones is City Developments. It is one of the biggest real estate development companies in Singapore with a long history. Its focus is on residential and hotel development. It was established in 1963 and went public the same year, its shares were listed on the Malayan Stock Exchange. Today it is listed on the Singapore Exchange. City Developments is managed by Kwek Sherman. He is a grandson of the founder of Hong Leong’s Group and heir to one of the wealthiest families in Southeast Asia, Kwek Hong Png. Hong Leong Group still holds the majority of City Developments’ shares.

    Its portfolio holds large condos, retail and office complexes in Singapore and overseas. It is the majority shareholder of Millennium & Copthorne Hotels and its more than 110 hotels all over the world, which is listed in London exchange.

    When Singapore’s property market was a slowdown, the company find a place for developing in Japan. At the end of 2014, it bought 16,815 sq. meters of the estate in Tokyo’s downtown to build condos. At the same time, City Developments expanded in Australia. 

    City Developments Ltd. is focused on property development, rental properties, and hotel operations. But there is a so-called The Others Sector part which covers clubs ownership, other investments, consultancy services, etc. The company was founded on September 7, 1963, and its headquarters is in Singapore.

    DBS Group Holdings

    Ticker SES(D05)
    Market cap $46,913.89M

    DBS Group Holdings was founded in 1968 as The Development Bank of Singapore. At first, it was a financing company for Singaporean businesses and city development projects. But the bank expanded in China and Southeast Asia and in 2003 the name was changed to DBS as it became a regional bank.

    DBS Group has the largest chain of over 2300 offices and self-service ATMs. It also holds the leading role in Singapore’s banking sector.

    CEO Piyush Gupta is on the head of the group since 2009. Under Gupta’s management, DBS is experiencing expansion beyond the region. It bought Societe Generale’s private banking business in Singapore and Hong Kong in 2014 for $220 million. The aim was clear, to grow its money management business to attract millionaires in Asia. DBS was also the first Singaporean bank registered in China. It was in 2007. Now DBS has offices in 10 major Chinese cities, with more than 50 offices in Hong Kong only.

    DBS Group Holdings Ltd. is an investment company. It is focused on retail, small and medium-sized companies, corporate, and investment banking assistance. It works as consumer banking/wealth management, institutional banking, and treasury markets. The Treasury Markets section is all about structuring, market-making, and trading of treasury products. The company was established in 1968 and its headquarter is in Singapore.

    Sembcorp Industries

    Ticker SES(U96)
    Market cap $2,880.48M

    This is one of Singapore’s largest conglomerates. Sembcorp Industries has three main businesses: marine, utility and urban development. The marine and offshore business are handled by publicly-listed subsidiary Sembcorp Marine. Its rigs and platforms are present in almost all foreign offshore oil places all over the world. 

    Sembcorp has an important position in various governmental industrial park development plans in China and Vietnam. The current Group President Neil McGregor is CEO too. In 2006 with Tang in the head,  Sembcorp Industries won the bid for water desalination and power plant project in the United Arab Emirates. It was its first big project in the Middle East. Temasek Holdings is its largest shareholder with about 50% ownership.

    Sembcorp Industries Ltd. is an investment holding company. It is engaged in the production and supply of utility services, storage of oil products and chemicals. It operates through main sections: utilities, marine, and urban development. It is also involved in businesses relating to minting, design and construction activities, and offshore engineering. The company was established in 1998 and its headquarter is in Singapore.

    Read this: Singapore Stock Market – Why To Invest?

    ComfortDelGro Corp. Ltd.

    Ticker SES(C52)
    Market cap $3,852.21M

    ComfortDelGro is a land transport and an investment holding company with more than 46,000 taxis, buses, and rental vehicles all over the world. It was established in 2003 with the merger of the Singaporean transport companies Comfort Group and DelGro. London’s Metroline (city bus operator) is one of ComfortDelGro’s major branches. The interesting fact about ComfortDelGro is that no shareholder holds more than 10% of shares.

    Because of the limited area and population in Singapore, the company was forced to find opportunities away from this city-state. In 2013, it has bought a part of London’s FirstGroup’s bus business. In the same year, it bought the Melbourne bus operator Driver Group. Almost half of the company’s operating profit is produced from businesses in China, Australia, the U.K., Ireland, Vietnam, and Malaysia. Yang Ban Seng is managing director and group’s CEO.

    ComfortDelGro is holding company which mainly invests in the ground transportation services. It is involved in several areas through separate divisions. It operates a public transportation service, which covers bus, rail, and taxi services. Bus division is also involved in operating shuttle and coach rental services, and fare collection. Taxi division is involved in operating the bureau services and advertising of it. The automotive engineering division is involved in the maintenance, manufacturing of specialized vehicles, coach assembly, collision repairs, automotive engineering services, and sale of diesel fuel. The inspection and testing division provides MOT and similar regulatory mandated vehicle testing, but also non-vehicle testing, inspections and consulting. The driving centers division is providing services for driving schools. While the car rental and leasing division is covering services of vehicle renting and leasing to customers.
    The company was established in 2003 and its headquarter is in Singapore.

  • Wild ride: Dow Jones Rise 250 Points

    Wild ride: Dow Jones Rise 250 Points

    2 min read

    Wild ride: Dow Rise 250 Points
    Stocks rose on Friday amid increasing hopes for a U.S.-China trade deal as equities were on pace to post another solid weekly gain.

    According to CNBC, The Dow Jones Industrial Average jumped 250 points as J.P. Morgan Chase and Caterpillar outperformed. The S&P 500 gained 0.76 percent, led by financials and tech. The Nasdaq Composite advanced 0.4 percent.

    The 30-stock Dow and Nasdaq were both on pace to post their eighth consecutive weekly gain. The S&P 500, meanwhile, was on track for its seventh weekly gain in eight. The indexes were all up more than 1 percent entering Friday’s session.

    Here are the hottest things to know about stocks

    • The Dow Jones Industrial Average, S&P 500 and Nasdaq posted their fourth straight day of gains.
    • The Dow has added more than 1,000 points from Friday to Wednesday.
    • Big gainers on Wednesday included Chipotle Mexican Grill, Fossil Group and Nektar Therapeutics.
    • The Consumer Price Index rose 0.5% in January, the strongest monthly increase since January 2017.
    • The 10-year Treasury note hit 2.91%, a four-year high.

    Stocks ended with sharp gains on Wednesday, February 14, after falling earlier in the session following reading on U.S. consumer inflation.

    The Dow Jones jumped

    The Dow Jones Industrial Average jumped 253 points or 1.03%. The S&P 500 rose 1.34% and the Nasdaq was up 1.86% as technology shares outperformed.

    The leading gainers on the Dow Wednesday were Nike Inc. (NKE – Get Report), Cisco Systems Inc. (CSCO – Get Report) and JPMorgan Chase & Co. (JPM – Get Report). They rose 3%, 2% and 2.3%, respectively.

    Daniel Deming, managing director at KKM Financial said: “I am a bit surprised the market has been able to maintain this upward trajectory at the level that it has… We had a little hiccup last week, but that was quickly priced out of the market. That tells me there is still money trying to seek a higher return, or at least take on more risk.”

    What did cause this Dow Jones jump

    Chinese President Xi Jinping said trade talks between the U.S. and China will continue next week in Washington. This comes after a U.S. trade delegation which was led by Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer visited Beijing this week.

    China and the U.S. are trying to hit a deal before a March deadline. If they don’t reach a deal by then, additional U.S. tariffs on Chinese goods could take effect. President Donald Trump, still, is considering pushing back the deadline by 60 days to give negotiators more time to reach a deal.

     

    Core inflation in the US in January rose 0.3%.

    Wall Street will be looking to the data to help it gain signs about the pace and trajectory of interest rate hikes from the Federal Reserve.

    “This is a strong number. What’s going to be interesting is how financial markets react,” said Luke Bartholomew, investment strategist at Aberdeen Standard Investments.

    “There’s a risk that this could pour fuel on the fire of last week’s market selloff.”

    Bartholomew added that the “Fed is now very likely to follow through on its plan to raise rates again in March.”

    The 10-year Treasury note yield rose to 2.91% on Wednesday, a four-year high.

    The Cboe’s Volatility Index often referred to as the “fear gauge,” fell back below 20.

    U.S. retail sales in January fell 0.3%, but economists had expected a gain of 0.2%. It looks like a not good hint.

    The Friday moves come after the Dow and S&P 500 fell on much weaker-than-forecast retail sales numbers.

    On the data front Friday, industrial production for January fell 0.6 percent. Economists, however, expected an increase of 0.3 percent. They failed once more.

    Consumer sentiment data are scheduled for release later on Friday.

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