The stock market tried its best to rally on July 29, but with major EPS reports, a Fed decision, and an employment report looming, higher prices attracted sellers and the major indices finished flat. The market will either continue lower in the near term or the pullback will end and new highs are just around the corner. We would bet on the former, as there is no indication from the recent price action of the S&P 500, Nasdaq, and Nasdaq 100 that the selling is over. While the tech-heavy indices, industries, and mega caps have worked off overbought momentum conditions on a daily and weekly basis, we have not yet cycled into oversold territory on a daily basis. Do we have to? Absolutely not -- but it probably would be healthy. The last time Technology indices/stocks were oversold on a daily basis was on April 19 -- but just barely, with the 14-day relative strength index reaching 30. The last time tech was oversold on a weekly basis was in mid-2022 -- and prior to that, during the pandemic. Long-term relative strength leadership rarely cycles into oversold territory on a weekly or monthly basis except during mega meltdowns and crashes. So there is a smell of panic in Technology land as the 'can't miss' semiconductor stocks are stinking it up. But at least the money fleeing those stocks is being moved into other areas of the market. The NYSE, Dow Jones Industrials, the S&P 500 equal weight, the S&P MidCap 400, the Russell 2000, and the S&P Small Cap 600 continue to catch a bid -- with most remaining near all-time highs. As of this writing, the iShares Semiconductor ETF (SOXX $220.58) has cratered almost 17% over the 14 sessions, its largest decline in that time period since June 2022 (which was during a tough bear market for Information Technology). There is a cluster of support near $200, which includes the last low in April, trendline support off the lows since October 2022, and a 38.2% retracement of the bull market. Distribution days on the Nasdaq 100 (QQQ) and the SOXX continue to add up as we count seven on both ETFs over the past 14 days.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Vickers Stock Research, a subsidiary of Argus Research Group, tracks and analyzes insider trading and institutional stock ownership trends. Form 13-Fs, which institutions must file to report their holdings, are due 45 days after the end of calendar quarters, and have now come in from 1Q24. We like to review the 13Fs of the major activist investors, including Carl Icahn, Trian Fund Management, Jana Partners, and ValueAct Holdings, among others, to determine their core holdings and new purchases. Activist investing has evolved in recent years and is now less about generating a short-term return on an underpriced stock and more about achieving long-term returns through an active management/investor partnership. Activists have made progress in the past year with high-profile investments into blue-chip companies such as Fedex and Union Pacific. According to Vickers, here are recent new purchases and key holdings of activist investors and other high-profile money managers such as Warren Buffet of Berkshire Hathaway and Ken Griffin of Citadel Advisors LLC.

U.S. stocks continue to trend higher as investors are not faced with major economic developments and can focus on earnings reports. Disney (DIS) was down more than 10% in midday trading after the company posted results that showed an overall loss, but adjusted profits that beat the consensus. It expects weaker results this quarter. Peloton (PTON) is up on reports that the company is in talks with private equity firms to buy out the company. The Dow is up 0.1%, and S&P 500 0.3% and the Nasdaq rose 0.2%. Crude oil is trading above $78 per barrel and gold fell $8 to $2323 per ounce.

Stocks are little-changed on Monday morning. While this week is full of major earnings report, Fed news, and significant economic data, investors appear to be in 'wait and see' mode for now -- with the biggest events still to come on Tuesday (earnings), Wednesday (Fed), Thursday (earnings again), and Friday (employment). Tension in the Middle East is also on the rise, likely adding to hesitation on the part of traders. As of this writing, the major stock indices are in a tight range between off 0.04% and up 0.30%. Crude oil is lower by about 1.15%, while gold is up about 0.35%.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

Stocks fell on Thursday and bond yields rallied after Fed Chair Powell said that although he was encouraged by the slowing pace of inflation, he has not ruled out another rate increase. The $24 billion sale of the 30-year Treasury bonds was weaker than expected. The S&P 500 fell 0.8%, the Dow lost 0.7% and the Nasdaq was down almost 1%. Crude oil fell to $75 per barrel, while gold traded near $1963 per ounce.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

In this edition, EU's energy security problem with Russian LNG; growth a challenge for railroads; a mixed outlook for refiners; and Walgreens Boots Alliance, Chewy, and UBS Group.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

Stocks edged higher on Monday morning as investors awaited earnings from Apple and Amazon, and the July employment report later this week. With about half of S&P 500 companies having reported, FactSet said that 2Q23 earnings were down 7.3% from the prior year, the sharpest decline since 2Q20. However, some 80% of reporting companies have beaten expectations, above the five-year average of 78%. The Dow rose 0.2%, the S&P 0.1%, and the Nasdaq 0.3%. Crude oil rose nearly 1% to $81 per barrel while gold traded near $2006 per ounce.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

Stocks rose on Wednesday morning as investors awaited new developments in the debt ceiling negotiations in Washington. Housing market data was mixed, with growth in both single- and multi-family housing starts, but a decline in total building permits. Overall housing starts rose 2.2% to an annualized 1.401 million units, slightly above the Reuters consensus forecast. The Dow rose 0.4%, the S&P 0.4%, and the Nasdaq 0.6%. Crude oil traded near $72 per barrel, while gold fell $7 to $1986 per ounce.

In this edition, global oil inventories face future; feeling the internet's backbone; and initiating coverage of Qualys; and Lithium Americas, Bausch & Lomb and Macy's.

In this edition, railroads may be in for a bumpy ride; ESG has some opportunities; biotechs innovate; and Constellation Brands, Autodesk, and Tencent.

In this edition, railroads may be in for a bumpy ride; ESG has some opportunities; biotechs innovate; and Constellation Brands, Autodesk, and Tencent.

Stocks held up on March 13 after some ugly early action that saw the S&P 500 (SPX) down about 1.3%. The index rallied almost 100 points by late morning before selling off over the balance of the day. It was a great session for day traders, but created more agita for the rest of us. The morning low coincided with chart support in the 3,780-3,810 region from the late-December low. On March 14, gains were solid and broad-based.

In this edition, the view from California's rooftop solar, tech stocks fueling a rally, and Norfolk Southern grapples with derailment; and Dropbox, Truist, and General Dynamics

Stocks rose strongly on Thursday as investors weighed more 4Q earnings reports and new GDP and employment data. The Commerce Department said that the U.S. economy expanded at a 2.9% rate in 4Q, helped by significant growth in inventories. The reading was above the consensus estimate of 2.6% growth, though down from 3.2% in the third quarter. On the employment front, first-time claims for state unemployment benefits fell by 6,000 to 186,000 for the week ended January 14. The Dow rose 0.61%, the S&P 1.10%, and the Nasdaq 1.76%. Crude oil traded near $81 per barrel, while gold fell to $1930 per ounce.

Stocks rallied on Friday morning as investors looked past weak 3Q results and disappointing guidance from Amazon. Energy shares rose, as both Exxon and Chevron reported much stronger-than-expected earnings. On the housing front, the National Association of Realtors said that its pending home sales index fell 10.2% to 79.5 in September. The Reuters consensus forecast had called for a smaller decline of 5.0%. The Dow rose 1.6%, the S&P 1.3%, and the Nasdaq 1.4%. Crude oil fell 1% to $88 per barrel, while gold traded near $1645 per ounce.

The Bull Battles Back: Our Monthly Survey of the Economy, Interest Rates, and Markets

As we start the second half of 2022, we remain disciplined by looking at stocks and sectors in which we have confidence. Stocks took a beating in the first half, and at times like this, investing principles are critical. We focus on fundamentals, diverse portfolios, strong managements, and growth stocks trading at reasonable prices. This week we look at Industrials, having examined Basic Materials last week. These are perhaps the two least flashy sectors -- and while Basic Materials and Industrials may seem boring, we don't consider the stocks on this week's list to be dull. The companies we've selected within Industrials have solid fundamentals and growth outlooks. Challenges in the supply chain persist, but have eased, and the U.S. trade deficit signaled some shifting in the last report. Exports rose 1.2% in May to $255 billion. This is a great opportunity for U.S. companies, as international buyers look towards American products. The Industrials sector accounts for 8% of the S&P 500, and includes industries such as aerospace and defense, construction and building products, heavy equipment and machinery, and transportation. Over the past five years, the sector weighting has ranged from 7% to 12%. We think investors should Over-Weight the sector and consider allocating about 8% of their diversified portfolios to stocks in the group. The sector is slightly outperforming the S&P 500 thus far in 2022, with a loss of 16.5% compared to the S&P's loss of 18%. The following are some of our BUY-rated Industrials companies, all of which are rated BUY, have a Financial Strength rating of Medium-High or higher, and pay a dividend. We feel these companies are best in class for the sector.

Market Slumps as Earnings Roll On

The stock market kicked off February with a winning week, though 2022 remains deeply in the loss column. On Friday, the Dow Jones Industrial Average edged down by 21 points, or 0.06%. The S&P 500 was up 0.52%, and the Nasdaq Composite rose 1.58%. For the week, the DJIA was up 364 points, or 1.05%, the S&P 500 was up 1.55%, and the Nasdaq Composite was up 2.38%. Year-to-date, the Dow is down 3.44%; the S&P 500 is off 5.57%; and the Nasdaq Composite is on the edge of correction territory, down 9.89%.

Over the weekend, the House of Representatives approved the largest public works bill since the 1950s. The bipartisan trillion-dollar bill, which was passed by the Senate in August, now goes to President Biden's desk for signing. The plan focuses on improving the country's infrastructure, from roads and bridges to water systems and electricity grids. It also targets the auto industry, with a focus on electric vehicles and charging stations. In the power sector, Biden's goal is to achieve a carbon-free power industry by 2035. To improve energy efficiency in buildings, he is looking to retrofit four million buildings in the four years. Elsewhere, business Services companies also stand to benefit; bond issuance should pick up given that the infrastructure spending plan will be financed at least in part by bonds; and payroll companies could get a boost processing more paychecks as the infrastructure plan creates "millions of good paying jobs." All-in-all, some of the companies that we think may benefit include the following.

October Surprise: Recouping September's Losses

Stocks were mixed on Tuesday morning amid uncertainty about the economic impact of the Delta variant. Factory order data showed slower growth but still topped the consensus forecast. The Commerce Department said that U.S. factory orders rose 1.5% in June, above the Reuters consensus of 1.0% but down from 2.3% growth in May. The Dow rose 0.2%, the S&P fell 0.1%, and the Nasdaq fell 0.6%. Crude oil traded near $70 per barrel, while gold fell $8 to $1814 per ounce.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Last week in this space, we detailed stubbornly negative, but grudgingly improving, insider sentiment. The easy path this week would be to say that conditions are little changed. And in the big picture, that is true. But there are some interesting highlights in the insider-transaction data from Vickers Stock Research this week.