Hong Kong banks were likely to be more selective in extending credit to developers amid a prolonged property slump that could pose a “major risk” to lenders, according to Moody’s Ratings. Banks’ property development and investment loans accounted for 16 per cent of their total lending as of June, the credit-rating agency said in a…
The Trump administration will keep Biden-era antitrust guidelines in place. The development could upend Wall Street’s prediction of an M&A boom under Trump. A “supercycle” of mergers was anticipated to drive stocks higher. A key argument in the bull thesis for the stock market under President Donald Trump has been weakened this week. On Tuesday,…
Bullishness is rising among fund managers surveyed by Bank of America. But an AAII survey suggests everyday investors are the most bearish since 2023. Big institutions are especially upbeat about international markets. Retail investors and fund managers are watching the same stock market, but they’re seeing two different things. The latest Bank of America survey…
The S&P 500 may be trading near records, but investors aren’t feeling totally at ease. A sense of complacency in markets may be magnifying risks, a strategist said. A crisis in China’s economy and Big Tech valuations “running on fumes” are also threats to the market. Even with the S&P 500 trading near record highs,…
S&P 500 firms could see an 8% hit to earnings if Mexico and Canada retaliate on tariffs, BofA says. Wall Street expects an EPS drawdown to dent the S&P 500’s rally. US earnings are otherwise set for strength amid upbeat corporate sentiment. A tit-for-tat trade war between the US and its neighbors could spell real…
The Magnificent Seven stocks’ dominance may soon fade, warns Glenmede Investment Management. Current market concentration levels mirror those of 1929 and 1999, signaling potential risks. The S&P 500 equal-weight index outperformed post-1999, and it could be primed to do so again. How much longer can the Magnificent Seven stocks continue to dominate the equity market?…
The default of a major Hong Kong property developer could send shock waves through the broader sector and scuttle a potential recovery in the residential market, according to S&P Global Ratings. “Hong Kong’s residential property recovery may be slipping out of view,” the credit-rating agency said in a report on Thursday. “S&P Global Ratings believes…
Albert Edwards warns of a growing bubble in US stocks driven by AI enthusiasm. US stocks now represent 75% of global market cap, and tech stocks are 35% of the US market. Edwards’ bearish views contrast with Wall Street’s optimistic S&P 500 targets for 2025. Albert Edwards, the famously bearish strategist at French investment bank…
Bill Smead warns a stock market bubble is set to unwind. Rising 10-year Treasury yields will eventually put pressure on growth stocks, Smead argues. Smead’s view contrasts with Wall Street’s optimistic S&P 500 predictions for 2025. The ongoing optimism around the mega-cap AI stocks driving the S&P 500 doesn’t make sense to Bill Smead. The…
2025 could yield a great opportunity for bears to jump back into the market. Wall Street is pointing to the potential for more pullbacks from records as buying opportunities. Forecasters are expecting another positive year for the market, despite hefty gains in 2024. Investors who have watched from the sidelines as stocks soared to new…