It’s been an incredible 24 hours on Wall Street. That’s because right now, whether you ask President Trump, Speaker Pelosi, or anyone else, it’s very obvious what has to happen: The Treasury Department needs to put money in people’s pockets now, period. As I write this, the details aren’t entirely clear, but this morning’s deal appears to be for stimulus checks of $1,200 for every American making less than $75,000 in 2018, decreasing for higher incomes, plus $500 per child.
They want it wired to your bank account if you filed an electronic tax return. If you filed a paper tax return, they will mail you a check. But there’s a sense of urgency because some people need to pay bills at the end of the month, pay their rent and things like that. For all those working people who’ve been laid off, they need the money. So that’s good news.
Once that’s settled, we can start looking ahead to the question of Reopening America. There’s talk that Florida will start screening New York flights. They might take your temperature; they might order that you be quarantined. New York City is a hotbed of the coronavirus right now. There are more people in cities, you can touch buttons in elevators and things like that.
So, when it comes to reopening, the truth of the matter is that the decision falls to a lot of state governors.
President Trump did do something interesting at his press conference on Monday. Besides updating us on FEMA efforts and promising new guidelines on Monday, Trump also said he called Fed Chair Jerome Powell and thanked him. Whatever disagreements they’ve had, these times call for national unity just to get things done.
And, believe it or not, I think our politicians actually are paying attention to what we think and say. So, let’s hope they do the right thing.
In terms of investing, I think the market’s been fine since Thursday. That’s when dividend stocks exploded, as I’d been eager to see, and some continued to rally into Friday. The stocks I recommend for subscribers were exhibiting tremendous relative strength then and Monday. (By the way, the Nasdaq was very, very firm yesterday.)
Now, this is quarter-end window-dressing. So, this is a time when my “Buy”-rated stocks normally do well. That’s simply because all the professional managers need to own stocks with good sales and earnings by the end of the quarter, to make their portfolios pretty.
Plus, remember, the exchange-traded funds (ETFs) need to rebalance every 90 days, usually by the last trading day in March, which is coming up fast.
So, the stocks exhibiting relative strength are also going to see their weightings increased in the ETFs that have become so popular. There can be a lot of really unfortunate things happening with ETF pricing and spreads, though, in a volatile market – which is why I prefer to stick with the high-quality stocks themselves.
In early April, I really need to see what the analysts say, because their estimates do jerk stocks around. But, in the meantime, no investor deserves to be left in the dark.
I’ll keep publishing my research, based on a week’s worth of market data, just as I have for many years. From Saturday’s scan, I’ve got notable Upgrades and Downgrades available here, and I’ve got a free briefing on the new internet revolution going on now.
A lot of Asian stocks are showing up on my radar, and Asia markets were up sharply Tuesday and today, with groups like Japanese stocks rallying for two days in a row. Keep in mind that Asia is getting over the hump of the coronavirus, and here in the United States, we can hope for a V-shaped recovery in the future.
I can’t wait to start writing about earnings again – my favorite time of year – and not just the latest coronavirus headlines. That’s coming up soon. And that’s when we can be confident buyers and sellers, as the case may be.
My Portfolio Grader is available to you for keeping an eye on your stocks, then and now. Going forward, a key engine of our economy is going to be the extraordinary developments taking place in the world of wireless internet infrastructure.
The 5G Buildout Is an Incredible Opportunity for Investors Right Now
Within two years, most cell phones will be 5G enabled and be able to wirelessly handle television streaming. With 5G, we’ll have cable modem speeds on any device; no need to plug in. That’s a big deal for rural areas … the very same areas that are also key to President Donald Trump’s reelection. So, by pushing 5G over the goal line, Trump will deliver a big win for his base — and strike a blow against Chinese rivals like Huawei Technologies.
But, in the big picture, 5G is about much more than trade wars and faster downloads. Because 5G is 100 times faster than 4G, it’ll allow your internet devices to work in real time. That advancement is a game changer for tech companies.
With the 5G infrastructure market set to grow at an annual rate of 67% over the next 10 years, the entire market will go from $780 million to nearly $48 billion. This buildout is where I see opportunity with 5G stocks now.
Cable companies can do their best to fight back with fiber optics … but they can’t compete with the convenience of a smartphone, once it’s got ultra-fast 5G. That’s how my 5G infrastructure play will capture more market share from the broadband cable companies.
The stock I’m targeting is a favorite on Wall Street, and it has strong fundamentals, too — making it a “Buy” in my Portfolio Grader system.
When you do, you’ll see how to claim a free copy of my new stock report, The Netflix of 5G, which has full details on this company — and what makes it such a great investment.
Louis Navellier had an unconventional start, as a grad student who accidentally built a market-beating stock system — with returns rivaling even Warren Buffett. In his latest feat, Louis discovered the “Master Key” to profiting from the biggest tech revolution of this (or any) generation. Louis Navellier may hold some of the aforementioned securities in one or more of his newsletters.