This Is How A Bear Market Starts

We are now in the sixth year of what is the third longest U.S. stock bull market in history. At this advanced bull market stage, some investors are understandably concerned about how much higher stocks can go from here. This leads to the following natural question – how will I know when the bull market has finally ended and a new bear market has gotten underway? Fortunately for those that are interested, today’s stock market is providing a live and active case study right now that is demonstrating exactly what it looks like when a bear market is just getting started.

Please click on the link to read more of my article on Seeking Alpha.

The Black Bear Is Unleashed

A black bear has been unleashed on capital markets. After having been adrift for several months, oil has been cascading relentlessly lower since late November. But despite the recently severe downward pressure on the energy sector, many are suggesting that this will be a short-lived and isolated blip. And in a still raging bull market for U.S. stocks, the pullback in energy shares represents just the latest opportunity to suddenly buy “deeply discounted companies on the dip.” Perhaps. But a number of characteristics make the sharp decline in oil and energy shares notably different from what so many have grown accustomed over the last six years. In short, the recent struggles in the energy sector may not only go on much longer than many are anticipating, but these downside forces have the potential to spread across the broader market.

Please click on the link to read more of my article on Seeking Alpha.

A Growing Black Cloud Over The Market

A storm is brewing over the high yield bonds in particular and capital markets in general. After what has been a remarkably strong and largely uninterrupted advance since the financial crisis went dormant in early 2009, the high yield corporate bond asset class is showing signs of growing stress. The primary culprit has been the precipitous decline in oil prices. But exactly how great is the direct exposure? What are the specific companies that are worth monitoring to gauge the pace of fundamental deterioration both in the sector as well as across the asset class? And what are the implications, if any, for the stock market?

Please click on the link to read more of my article on Seeking Alpha.

The Black Friday Massacre

Friday was a massacre for energy investors. Following the announcement by OPEC on Thursday that it would keep its production target unchanged, the price of oil cratered lower by more than 10%. The stocks of various U.S. oil companies were also completely mauled once U.S. markets reopened after the Thanksgiving holiday for a shortened trading session on Friday. But following this sharp downside on Friday, it is worthwhile to explore whether attractive buying opportunities are now presenting themselves in the energy space or if investors are better served to wait.

Please click on the link to read more of my article on Seeking Alpha.

Feasting On The Stock Market Harvest

Americans celebrated the Thanksgiving holiday this Thursday with people across the country coming together to feast and give thanks. Many investors across the country are also engaging in an annual harvest for their portfolios during the holiday season and as we move toward the end of the year. And this investment harvest is one that can bring good fortune in the coming year for those that are busy acquiring bargains that others have cast aside from their own portfolio basket.

Please click on the link to read more of my article on Seeking Alpha.

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