We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Profit from the Pros By Kevin Matras Executive Vice President
Stocks Up With All The Major Indexes Hitting New Record Highs
Image: Bigstock
Stocks closed higher yesterday, with all of the major indexes hitting new record highs.
The market continues to rally as it looks toward the future – a future with a receding pandemic thanks to the vaccines, and a future where life starts getting back to normal. And that means more people getting back to work, and traveling, and spending money, and living their lives, which in turn means a growing economy.
And even though we just got done passing the latest relief/stimulus bill a few weeks ago, talk of another stimulus bill being put forth later this month shows the government is going to keep the fiscal spigot open to support the economy.
In other news, it was nice to see yesterday's ISM Services Index come in better than expected at 57.2 vs. last month's 55.9 and views for 53.5.
It was also nice to see the Weekly Jobless Claims come in better than expected as well with a decline of -3,000 new claims at 787,000 vs. views for 803K.
But the report everybody will be watching is this morning's Employment Situation Report. The consensus is only estimating that 65,000 new jobs were created last month (91K from the private sector and -26K from the public), with the unemployment rate ticking up from 6.7% to 6.8%.
This report will be watched even more closely than usual, given Wednesday's ADP Employment report (often considered a precursor for the official BLS (Bureau of Labor Statistics) Employment report), which estimated a -123K private payroll decline.
You never know how the market will react to a report. But it's quite possible we could see a rally regardless. Why? Because if it's good, it will be a relief, and underscore the solid recovery taking place. But if it's bad, that could lend further credence and urgency to the need for more stimulus, and to do it in a hurry.
We shall see. But it was pretty bullish to see all the indexes make new highs going into today's report.
Aside from a shaky first trading day of 2021, the markets are off to a great start this year.
So make sure you're taking full advantage of it.
Best,
Kevin Matras
Executive Vice President, Zacks Investment Research
There's still time to get in early. These aren't just 4 promising stocks. They were handpicked from hundreds of strong companies by Zacks' experts because they present the greatest upside for Q1 -- which experts predict will see impressive economic and GDP growth.
Stock #1: With climbing earnings estimates, strong demand coming out of pandemic shutdowns, and rumors of a partnership with Tesla in the air, this basic materials stock's future looks bright.
Stock #2: One of a small group of value stocks in the red-hot tech industry, this company produces key components for 5G, artificial intelligence and driverless cars.
Stock #3: This retailer grew same store-sales by 23% and online sales by 95% during the pandemic. After more than tripling the S&P's gain since March, this stock has serious momentum.
Stock #4: Under-the-radar security firm with a track record of beating earnings estimates. With cyberattacks becoming more common, this company has unprecedented growth prospects.
Deadline to download our just-released Ultimate Four Special Report is Sunday, January 10.
These stocks have upward price momentum, market-beating relative price strength and are also trading in the top third of their 52-week price range. Read More »
Catch breaking news on your stocks and funds at a glance, including timely recommendation changes ... Zacks Ranks ... Industry Ranks ... earnings announcements ... earnings estimate revisions ... and more. And now you can screen for new stocks to improve portfolio performance.
Here are 5 stocks added to the Zacks Rank #1 (Strong Buy) List today. Read More »
Download our app for convenient on-the-go access to even more—daily and weekly newsletters published by Zacks experts, proprietary research and tools, and Portfolio Tracker on Zacks.com.
Visit Success Stories to hear how Zacks research, tools and portfolios help our members outperform the market.
Get all of our market insights and much more when you connect with us.
This free resource is being sent by Zacks.com. We look for investment resources and inform you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research is not a licensed securities dealer, broker or US investment adviser or investment bank. The Zacks #1 Rank Performance covers the period beginning on January 1, 1988 through November 30, 2020. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank #1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed above.
Zacks Emails If you would prefer to not receive future profit-producing emails from Zacks.com the primary purpose of which is the commercial advertisement or promotion of a commercial product or service, then please click here and confirm your request. If you have trouble with the unsubscribe link, please email support@zacks.com.
Zacks Investment Research 10 S. Riverside Plaza, Suite 1600 Chicago, IL 60606
Due to inactivity, you will be signed out in approximately:
