Key points
- Markets saw a modest Santa rally to close out 2023.
- The long-awaited recession never happened, but the full impact of the Federal Reserve’s rate tightening has yet to be felt.
- Here are some of our most popular articles this week.
- 5 stocks we like better than Cleveland-Cliffs
At the end of the shortened trading week, the highly anticipated Santa rally sent the S&P 500 up about 0.75%. The takeaway from 2023 is that many investors expected a recession that never happened.
But fears of a recession linger on the economy heading into 2024. The full impact of the Federal Reserve’s rate tightening has yet to make its way through the economy. Investors won’t have to wait too long to start getting answers. The next results season will begin in early January.
We wish you and your families health and good fortune as we approach the New Year. As you prepare to kick off a new trading year on Tuesday, take some time to review some of the major stocks and news impacting the market. Here are some of the top stories this week.
Articles by Jea Yu
One of the most notable market-impacting events in December was US Steel’s announcement that it was being acquired by Japan’s Nippon Steel. The proposed acquisition triggers speculation about industry consolidation. This week, Jea Yu explains why Cleveland-Cliffs Inc. NYSE:CLF maybe the industry’s next acquisition target.
Yu has also written about the ongoing arms race in artificial intelligence (AI) and how Intel Co. NYSE: INTC announces its entry into the arena with the launch of its Gaudi3 AI chip.
In 2023, Buy Now (BNPL) has become a way for many consumers to manage the higher cost of goods and services. This caused BNPL actions like Affirm Holdings Inc. NASDAQ:AFRM moved higher. However, Yu explains why investors who invested in AFRM stock earlier this year might I want to make a profit.
Articles by Thomas Hughes
One investment theory that has historical precedent is the Dogs of the Dow theory. This means that the worst performing Dow-30 stocks in one year will be among the best performing the next year. This week, Thomas Hughes analyzed the prospects of the three biggest dogs in 2023.
Another wise strategy is to invest in stocks that benefit from analyst upgrades. Hughes looks at three of the the most valuable stocks of 2023 and explains why each of them is likely to have more benefits for investors in 2024.
Hughes also wrote about Warren Buffett’s ongoing purchases of Western Oil Company NYSE:OXY. Hughes defines the price range that marks the “Buffett Buy Zone“, why Buffett is invest heavily in OXY stocks and why you might want to do the same.
Articles by Sam Quirke
The electric vehicle market has not grown as much as investors hoped in 2023. The high cost of increasing production in a rising interest rate environment will continue to impact many manufacturers of electric vehicles in full swing. But Sam Quirke writes why Rivian Automobile Inc. NASDAQ:RIVN East turns out to be an exception. With analysts raise the stakesthe end-of-year recovery may just be beginning.
Quirke also explains why investors looking for growth opportunities in 2024 will continue to be interested in technology sector. But instead of investing blindly, Quirke suggests looking at tech stocks that have recently benefited from bullish upgrades which paved the way for better performance in 2024.
Articles by Kate Stalter
Small-cap investors have had a strong couple of months. However, the best may be yet to come. This week, Kate Stalter wrote why investor optimism about falling interest rates will push small cap stocks even higher in 2024.
At the opposite end of the market capitalization spectrum, Stalter analyzes the year corresponding to Apple Inc. NASDAQ:AAPL. As Stalter explains, Apple remains a favorite among institutional investors for many reasons. Still, investors who hold stocks may want to manage their expectations and look for opportunistic takedowns to add to their position.
Some analysts predict that 2024 will be a good year for biotechnology And pharmaceutical stocks. If so, Stalter tells investors Bristol Myers Squibb Company NYSE:BMYwhat did two recent acquisitions this will expand its position in areas like neuroscience and oncology.
Articles by Ryan Hasson
Ryan Hasson also wrote about biotech stocks. However, unlike Stalter, Hasson was interested in small-cap biotech stocks. Liquidia Co. NASDAQ:LQDA, who flies away afterwards win a victory in court.
The end of earnings season gives investors time to compare winners to losers. This week, Hasson directs investors to three technological stocks which are among the sector’s biggest gainers in 2023 and have plenty of reason to believe they still have upside potential ahead.
Hasson also wrote about the recent performance of Select financial sector funds NYSE:XLF. Many investors may not be taking into account financial values. Hasson explains why it might be time for you to take a closer look at the industry.
Articles by Gabriel Osorio-Mazilli
Nio Inc. NYSE:NIO is one of the stocks that benefits the most from the Santa Claus rally. Investors comfortable with the volatility of the electric vehicle (EV) sector will want to read Gabriel Osorio-Mazilli’s article explaining why NIO shares soared more than 10% and what that could mean by 2024.
Even with inventory tight and mortgage rates at their highest levels in nearly 20 years, the housing market continues to strengthen. But for many reasons, the sector will likely perform well in 2024. Osorio-Mazilli explains why one reason to believe in the housing sector is increased interest In A.Withdrawal Companies Inc. NYSE:RKT.
Osorio-Mazilli also analyzed Align Technology Inc. NASDAQ:ALGNthat individual investors may overlook, but analysts are definitely not.
Before you consider Cleveland-Cliffs, you’ll want to hear this.
MarketBeat tracks Wall Street’s top-rated and top-performing research analysts daily and the stocks they recommend to their clients. MarketBeat identified the five actions that top analysts are quietly whispering to their clients to buy now before the broader market takes off…and Cleveland-Cliffs wasn’t on the list.
While Cleveland-Cliffs currently enjoys a “Moderate Buy” rating among analysts, top-rated analysts believe these five stocks are Better Buys.
Have you just launched into the stock market? These 10 simple stocks can help beginning investors build long-term wealth without knowing options, technicals, or other advanced strategies.