After being clubbed over the head like a country fair Whack-a-Mole game, in April and the first week of May, the equity markets have sprung to life the last three trading sessions. Stocks of companies which bettered expectations but provided UPOD guidance, or those which missed estimates ever so slightly, got hit rather hard after reporting results. More recently, those stocks have made up much or all of that lost ground, except, so it seems, Apple (AAPL).
My wife bought me an iWatch for my birthday, but upon further reflection, I am going to return it. It is not that I was being ungrateful. Rather, with the iWatch2 or iWatch1s likely to come to market in the next two to four months, I prefer to wait for the next model before taking possession of my birthday gift. In essence, my experience encapsulates Apple’s recent problems, which is that everyone is holding back till the iPhone7 or iWatch2 is shipped before making a purchase.
Apple aside; technology, biotech, growth, consumer discretionary, and energy shares have led the way the last few sessions. If we can sustain this comeback, then I do not see any reason why the market indexes cannot eclipse their old highs set last year. However, it is not going to be easy, as the markets’ protracted churn and rotation will continue to frustrate investors.
Today and tomorrow I will be speaking at the Money Show at Caesar’s Palace in Las Vegas. If you are in town, try to stop by and then join me for drinks at Gordon Ramsey’s following Wednesday’s presentation. Then immediately prior to my presentation on Thursday, at 9:30 PDST or 12:30 EDST, I will be on Bloomberg Radio.
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Disclosure: At the time of this commentary Scott Rothbort, his family and/or clients of LakeView AssetManagement, LLC was long AAPL— although positions can change at any time.
Scott Rothbort is the President & Founder of LakeView Asset Management, LLC, a registered investment advisor specializing in high net worth private wealth management. For more information on investing with LakeView Asset Management, LLC call us at 888-9LAKEVIEW or request more information by clicking on the contact button on the top right hand corner of the website. LakeView Management, LLC is a Nevada LLC, with its principal office located in Henderson, NV and branch office located in Millburn, NJ
Scott Rothbort is also the publisher of the LakeView Restaurant & Food Chain Report, a newsletter focusing in on food, restaurant, beverage and agricultural stocks. An individual subscription to the newsletter can be ordered at www.restaurantstox.com Furthermore; Scott is also a professor at the Seton Hall Stillman School of Business in South Orange, NJ.
– Read Scott’s intra-day thoughts and comments on Scutify for which he is a co-founder of its parent company Wall Street All-Stars, LLC
– You can email Scott at scott.rothbort.lakeview@gmail.com
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