Magnet Investing Insights - for August 5, 2024
Timeless Wisdom/Timely Ideas
From the desk of:
Jordan Kimmel | Founder
MagnetInvesting Insights
T- 908-202-1971
www.magnetinvestinginsights.com
“It is impossible to produce superior performance unless you do something different than the majority.” Sir John Templeton
Market Commentary:
So much for expecting the Fed sticking the landing and a soft landing.
Please take the time to watch this important video with Sam Stovall from CFRA. These are extraordinary times.
https://www.youtube.com/watch?v=eeV6m4vhSPc
• Technical models turned negative in the stock market as many of the hottest stocks were hit by profit taking. I think it may be more than just that.
• The stock market cracked, the bond market rallied, and recession fears have joined the inflation worries-and suddenly the mood has changed.
• The number of 52- week lows exploded and now we see more new lows than new highs. The advance decline line on NASDAQ looks awful.
• The exaggerated price moves in even big cap companies are coming from the “bots trading against bots” reacting (over-reacting) to news.
• Most of the “algos” are price and moving average related and care very little about fundamentals. Ultimately they will take the blame for the volatility that is coming.
Economic data and market clues:
Please take the time to watch this important video with Sam Stovall from CFRA. These are extraordinary times.
https://www.youtube.com/watch?v=eeV6m4vhSPc
Earnings season is wrapping up. Despite overall decent results, it is the cautious forward guidance by manycompanies that soured the stock market.
It is ultra stock specific as the market is outright punishing weak earnings guidance.
Selected current holdings:
Not the time to be fully invested.
Magnet®:
IES Holdings IESC
Merit Medical Systems MMSI
Neurocrine Bio Sciences NBIX
FACTS:
Allstate ALL
Amgen AMGN
Renaissance RE Holdings RNR
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Disclaimer
Jordan Kimmel is the Managing Member and Portfolio Manager for The Magnet Fund. Securities discussed may be held in portfolios managed by The Magnet Fund. Members of the staff of Jordan Kimmel’s Magnet Fund may hold positions in some or all the stocks listed and discussed in this publication. Reference to these securities should not be deemed as an understanding of any future position, buying or selling, that may be taken by Magnet. All investments are subject to a risk of loss. Investors should seek their own investment advice and conduct their own investigation into the suitability of investing in any of the companies mentioned. Readers using this information are solely responsible for their own actions and invest at their own risk. MAGNET is a registered trademark.
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