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The article presents stock price evaluation and stock price forecasting. Major corporations will report earnings for the first quarter of 2009 in April of that year, and most economist predict the majority will be disappointing to investors. Research indicates most so-called "earnings seasons" are accompanied by a fall in stock prices. This could put an end to the March, 2009 rally.

The article presents an overview of factors that United States investors should consider when performing risk analysis on their potential investments in 2008. A discussion of the risk factors associated with recession, economic bubbles, agflation, market volatility, and investing in cheap stocks, is presented.

The author discusses dividend reduction among companies that have cut their quarterly payouts. Morgan Stanley joins forms that have cut their quarterly payouts. According to analyst Howard Silverblatt, companies have seen their stocks increase on news of a dividend cut because of a perception that cash-flow issues are being addressed. The author says investors have had to concentrate their investments to benefit from those that make quarterly payments.

The article reports on status of the bear-market rally in the U.S. as of April 17, 2009. It states that investors have been more optimistic in the middle of the rally than the previous rallies since the bear market started late in 2007. Robert Buckland, global strategist at Citigroup, notes that rallies tend not to stick until some factors, including economic indicators, earnings expectations, and valuation, are moving in a positive direction.

The article considers corporate bonds as a substitute for the stock market. According to Dealogic, about $975 billion in corporate bonds had been issued worldwide through April 13, 2009 which is said to be faster than the pace of 2007. Investors believe that corporate bonds are the most desired asset class at the moment. Dealogic cited that $29.4 billion in high-yield bonds have been issued globally in 2009 because investors remained concerned about corporate balance sheets.

This article explains that Sealy, the mattress maker, has posted losses of 23% of its stock value on April 7, 2009. It says that Sealy's stock rose for a whole week after news of its plans to sell more securities. It points out that in an ordinary market news of secondary offerings trigger a sell among investors, but uncommon market conditions tend to reward companies for their ability to raise capital.

The article focuses on the return of the industrial conglomerate General Electric in the options market in April 2009. It recalls that the company posted earnings that made investors believe that U.S. companies are performing well yet was 7 cents shy of forecasts on April 11, 2008, resulting to a nearly 13% drop in stocks. It adds that investors have opted to protect themselves should the company experience problems again in the market on April 17 during which April options expire.

The article looks at whether the rally in stocks in the U.S. in early April 2009 could mean the end of recession or a result of oversold stocks. It is said that the major stock averages have all rallied by at least 20%. According to the author, reports of improvements in housing, industrial production, manufacturing and retail sales suggest that the trough of the recession could have been reached. UMB Scout Management chief investment officer (CIO) Bill Greiner stated that investors are beginning to feel confident that markets are recovering.

The author talks about the rallies in the stocks in the U.S. for the quarter ending March 2009. He mentions that the Nasdaq Composite Index entered into a positive territory for the year amidst a drop in stocks. He discusses why it is important for investors to chase performance during the quarter. He adds that investors believe that exhibiting a decent performance at the end of the quarter will benefit shares at least through the early part of the subsequent week.

The article examines the view of some investors in the U.S. about the link between increasing crude prices and strength in equities in March 2009 and improved global demand. The author notes that the enhancement in the market condition can be attributed to the impact of energy stocks on major equity averages. He argues that it is not a coincidence when the stocks showed strength while oil was rallying in the morning of March 25 but declined by $1.21 at $52.77 a barrel in mid-afternoon trading.

The article focuses on the implication of the more than 20% gain in the Standard & Poor's 500-stock index on March 23, 2009 compared with its closing low on March 9 amid the release of detailed plans for repairing the financial system by the U.S. Treasury Department. Some investors are cautious about the gains while others demonstrated optimism slightly higher than previous rallies. The sustainability of a rally is said to be another problem facing the market.

The article explains how reverse splits can temporarily help financial companies affected by the current financial crisis. Reverse split is when a company exchanges multiple shares outstanding for one share, slashing the number of shares held in the public markets and engineering a higher price. Companies took this route to escape the stigma of a low share price. Investors see reverse splits as gimmickry and an attempt to prop up a stock price to attract more institutional investors into buying the share and to avoid delisting.

The author comments on the hysterical reaction of investors to the U.S. Federal Reserve's plan to buy $300 billion in Treasurys. The announcement of the Federal Reserve's plan resulted in a predictable sell-off in the dollar. He thinks the investors' reaction to the Federal Reserve's actions are a bit much. He believes technical traders and momentum investors will benefit by going against the dollar in favor of the euro or yen.

The article focuses on securities trading volume in the U.S. being weighed by analysts for hints on whether the strength of the market will last for a longer period of time. It says over 2 billion shares changed hands on the New York Stock Exchange (NYSE) on March 10, 2009. It notes that the volume will have to remain above average in order to convince investors that the recovery of the market will last. It says the current market trend has been described as similar to the mid-1970s and early 1980s when volumes were low due to lack of interest in shares.

The article reports on the decline in holdings of foreign investors in U.S. Treasury assets in January 2009 in the wake of the scandal of former NASDAQ head Bernard Madoff. Investors are said to be concerned about the U.S. current-account deficit, their exposure to frauds and the response of the government to the capital needs of U.S. banks. Holdings of China, Japan and oil-producing nations in Caribbean banking centers fell by 10% from $197.5 billion to $176.6 billion. Luxembourg reduced its holdings in Treasurys from $97.4 billion to $87.2 billion.

The article talks about efforts by investors to predict stock market conditions. According to the author, overconfidence following an upward trend in the market can lead to stubborn decisions. Nicholas Colas of BNYConvergEx Group says the market does not care are an investor's prediction or call even though sentiment and technical conditions play a role in the activity in equities. James Montier of Société Générale advises investors to purchase shares when stocks are in the bottom quartile of historic valuations.

The article reports that acquisition plans of drug manufacturers Pfizer Inc. and Merck & Co. have caused investors to reduce holdings in several drug-wholesalers. With Pfizer's agreement to buy Wyeth and Merck's decision to buy ScheringPlough Corp., some believe that the drug-wholesalers will have less leverage when drawing up contracts with the major drug firms. Shares of large pharmaceutical companies all lost ground on March 11, 2009, and have been weakening this trading week.

The article considers the stock-market damage in the U.S. financial sector from 2007 to 2009 which surpassed the destruction of value in the technology sector following the collapse of the Internet-stock bubble. There was more than 83% decline in the value of financial shares in the Standard & Poor's 500-stock index. It points out that the gains of the financial sector are built on excessive leverage and strategies that are almost similar to gambling. The similarity between the damage is said to lie in the investment enthusiasm of investors.

The article focuses on the failure of the Chicago Board Options Exchange's volatility index (VIX) as a reliable indicator of fear among investors. Since the mid-1990s, major equity averages have dropped to lows unseen, but the V IX has been relatively muted, barely poking above the 50 level as of March 5, 2009, the article notes. The VIX is also said to reach increasingly higher levels as U.S. economic conditions worsened over the summer and into the fall.

The article deals with the realities facing investors in the current economic downturn. Investors have been trying to be optimistic since November 2008. According to Lee Schultheis of Alpha Hedged Securities Fund, the dislocations have created more opportunities than additional perils for 2009. However, he notes, investors are looking for signs that things are back to normal. The outlook for the economy for 2009 is still bleak with the expected contraction of the gross domestic product and a drop in trading volume.

The article reports on the lack of interest among investors to a speech by U.S. Treasury Secretary Timothy Geithner scheduled in the second week of February 2009. Geithner will be talking about the financial-rescue plans under the administration of President Barack Obama. Seabreeze Partners president Doug Kass states that investors are in the early stages of disinterest and apathy. BTIG chief market strategist Mike O'Rourke adds that investors do not believe that a new plan will succeed.

The article focuses on the decision of several U.S. companies to limit earnings guidance for 2009 instead of providing conservative earnings expectations. According to Zacks Investment Research, reductions of earnings estimates by analysts outpaced upward revisions in January. Among the companies that are not forecasting their outlooks are General Electric, Yahoo and Microsoft. Chris Johnson of Johnson Research Group explains the tendency for expectations to be more pessimistic when investors are not provided with earnings guidance.

The article reports on the debt facing drybulk shippers as assets lose value. DryShips Inc. announced the sale of $500 million in new equity to satisfy loan covenants it has with creditors. Due to the economic crisis, the value of ships reportedly declined by 70% in 2008. According to the article, shippers who are required to maintain a ratio of assets to loans have ships whose values have declined sharply. The planned additional $500 million in stock will help DryShips Inc. satisfy its loan covenants but the sale will be dilutive to shareholders.

The article explains the observed gains in the stock market in the U.S. in spite of reports of job cuts in many companies due to the economic recession, as of January 2009. Analysts point out that layoffs are often a late-cycle indicator since companies react late in an economic downturn to save costs in the face of declining demand. Investors have factored in the reality of layoffs in the economic situation and have accepted the worst. Given the forward looking attitude of capitalists, investors believe it is time to purchase stocks.

The article cautions investors in the U.S. against selling stocks that gains value in a short period of time because it often leads to more losses. Steven Wolf, managing director of investments at Source Capital Group, said that he is more interested in holding stocks that gains more than 20% in just a period of weeks. DryShips Inc., whose stock closed at $16.58 a share in January 2009 is cited as an example of a company that has managed to achieve gains in a matter of weeks.

The article discusses the country-specific debt buying trends of investors from both sides of the Atlantic. Bundesbank, the central bank of Germany, sold $5.49 billion of debt but retain a third of the issue allegedly due to low demand. It was said that similar auctions from Spain, France and the U.S. may also fall short of expectations and this will serve as a sign that the global market is starting to refuse government-bond issuance. The lending and spending moves of the U.S. Treasury and the financial need of the Bank of America were also cited.

The article reports that traders are focusing on shipping stocks during the last two trading sessions of 2008 and first trading day of 2009. The shares of Dryships Inc. and Eagle Bulk Shipping Inc. closed on December 23, 2008 at $8.99 and $5.18, respectively, but gained 17% and 7.8%, respectively, by January 2, 2009. Paul Foster, market strategist at Flyonthewall.com said that the posted gains are indicative that the end-of-the-year tax selloff is over and the shipping stocks are expecting a bounce.

The author examines the behavior and views of investors in options trading amid market closures during the holidays. He cites several aspects that investors should consider in selling options, focusing on the time decay or the theta of an option. He explains that when an option is about to expire, traders opt to sell it several weeks before the premium diminishes as expiry approaches. He refers to the explanation provided by thinkorswim chief derivatives strategist Joe Kinahan regarding the strategy of traders upon the forthcoming time decay.

The article presents the outlook of stock investors on the stock market of the U.S. Alan Lancz, who runs his own investment advisory firm, questions the optimistic outlook of some investors on the market. A survey by Duke University has found that 60% of chief financial officers do not expect the U.S. economy to recover before the fourth quarter of 2009. It explains how the negative outlook of finance chiefs would negatively affect stocks.

The author warns investors not to believe the gains posted by engineering and construction stocks in the U.S. as of December 15, 2008. He explains that the recent gains of engineering and construction stocks are driven more by speculation and do not account for the pressure those companies will face as a result of declining global demand. He points out that the pump priming plan of the Obama administration as the primary focus of gains in engineering and construction stocks.

The article focuses on the better-than-expected holiday shopping results in the U.S. on Black Friday 2008. It notes that despite the good results, investors still need to be cautious of the retail sector. Data from the National Retail Federation show that an estimated average of $372.57 was spent by shoppers, marking a 7.2% increase from the previous year. It adds that investors need to be wary over the continuing economic trend in which consumers have adjusted their spending habits and are saving money.

The author analyzes the decision by the central bank of Hungary to cut its interest rates in November 2008. According to the author, the central bank made the move after it increased interest rates in October. He notes that the move reflects the concern that higher rate would not attract investor interest.

The article reports on the difficulty of selecting stocks for profitable investment at a time when a market rally has just taken place. Advisers are looking at sectors that were among the more sluggish. The Consumer Staples Select Sector SPDR fund which monitors the S&P's consumer-staples sector, gained 11.8% in line with the utilities and health-care sectors. These sectors are usually preferred by investors worried about the future prospects for the U.S. economy. Investors use value-oriented approaches, eyeing stocks with low price-to-earnings ratios.

The article reports that investors who put their money on technology stocks get knocked off stride by falling prospects for the global economy and a resurgence in U.S. dollar. It says that technology shares in 2008 were remarkable for their relative strength in the middle of bad conditions. It states that market dynamics may also contribute to a decline in profits.

The article reports on the decline of U.S. stock price indexes in October 2008 despite the passage of the Senate-version of the bank bill aimed to bail out Wall Street firms. Investors and analysts expressed hope that the credit crunch could be resolved. The bill failed to gain support at the House due to poor data on jobless claims, housing and industrial activity. Traders are said to be wondering how the government would implement the bill including the purchase of unwanted debt assets from financial institutions by the Treasury Department.

The article presents the author's views on the restructuring of the financial services industry. He says it is a humbling experience to observe the largest banks and investments firms evaporating with the financial crisis. In the last nine months, 4 of the top 15 institutions in terms of market capitalization have been purchased or liquidated. Washington Mutual Inc. was liquidated and acquired by J.P. Morgan Chase & Co. For the sake of investors, the remaining institutions should demonstrate their strength as funds are wary of purchasing equity in them.

The article focuses on the increased interest of individual investors in buying stocks of Fannie Mae and Freddie Mac which were trading at around $2 as of September 26, 2008 amid the financial crisis. It notes that the volatility gave an opportunity for investors engaging in certain options strategies to get active in the market. The companies are optimal for investors who want to engage in the covered-call writing strategy which helps to reduce disadvantages for investors.

The author cites that investors are not convinced that the worst of the market's swings have been seen already considering that the major stock-market averages already had its 300-point-plus declines and rallies. He says that the Chicago Board Options Exchange's Volatility Index, or the VIX, has closed above 30 for eight consecutive sessions and comments that this has not happened in more than five years. Brian Overby, analyst at TradeKing, says that much of the insecurity is due to the wrangling of Washington over the U.S. Treasury's bailout package.

The author expresses his concern on the negative reaction of foreign investors in the U.S. to the proposed $700 billion bailout plan for financial institutions by the U.S. government. The author argues that because of the government's decision to stop short selling of certain stocks and the changing of rules for financial institutions by a minute, foreign investors are indeed left wondering why they to put their money in the U.S. He adds they invest their money in the U.S. because these investors think that the U.S. has the fairest economy in the world.

The article offers ideas for an investor dealing with the present financial crisis. Alan Gayle at RidgeWorth Capital Management Inc. says the rapid declines in stock values create opportunities. Investors should not wait to invest in those companies with whom they are confident. Charles Payne, founder of Wall Street Strategies, say that investors should sell their losers. Investors should learn lessons from overinflated investments.

The author reflects on the dislocations that have occurred in the U.S. financial market in September 2008 that resulted from a lack of transparency that eroded investor's trust. According to him, the Lehman Brothers turmoil is the least transparent where bankers in 2007 indicated that various securities backed by subprime mortgages were worth more than certain derivative indexes were suggesting. As a result, the market became geared toward skepticism and the lack of trust and the absence of complete information pushed stocks to fall deeply.

The article reports on the state of the U.S. stock market in September 2008. According to Michael Strauss of Commonfund, the Wall Street is a funny place in different fashion. Ari Bergmann of Penso Capital said that the unwinding among investors, stocks and commodity markets may end soon if normalcy continues.

The article reports on the performance of stocks in the energy sector in the U.S. as of September 10, 2008. Standard & Poor 500's index registered a decline of 24% for the third quarter of 2008, putting the industry as the fourth worst sector in 2008. Shares held by hedge funds continue to liquidate their stakes but potential investors are noted to still be waiting until all funds are cleared out of the energy stocks.

The article reports on the decline in shares of Washington Mutual Inc. on September 8, 2008. After rising 19% at the start of trading, Washington Mutual's shares ended down 3.5%. Analysts attribute the decline to WaMu's agreement with the U.S. Office of Thrift Supervision to provide the regulators with a business plan and forecast. Investors are concerned about regulators and their oversight function in the light of the Fannie Mae/Freddie Mac experience.

The article reports on the state of the U.S. housing market as of July 2008. Len Blum of Westwood Capital says that housing will not recover until the supply overhang is reduced, mortgages are readily available, and it is cheaper to buy versus renting a home. Firms selling new homes will be facing difficulties as housing supply grew to a record 11.2 months of supply on the market. Sales of existing homes reportedly rose 3.1% in July 2008 compared with the June 2008 rate of sales.

The article reports that discount warehouse company Costco Wholesale Corp. is expecting reduced profits due to its efforts to keep prices low inspite of rising energy and commodity costs in 2008. This has resulted in a 12% decline in the company's stock price on July 23, 2008, ending Costco's status as a refuge for investors who were troubled by the decline in the stock prices of retailers. Investors had become too comfortable with the idea of discount warehouses as havens from the rest of the troubled retail industry.

The article presents an outlook for the options activity of Bank of America and Wachovia in the U.S. as of July 2008. It mentions that Bank of America's options activity reflects confusion while in Wachovia, it demonstrates more caution. Moreover, chief derivatives strategist Joe Kinahan of Thinkorswim notes that some people are taking advantage of the premiums to write calls against the stock they own and that banks continue to show that unfettered optimism will diminish investor hopes.

The article reports that the large selling of shares by many investors that created a stock market downfall has made them waiting for the right time to invest again. Analysta say that there are some quantitative signs which show that the large downloading of shares by investors have reached the lowest level. Quantitatively, one such signs is a large volume of transaction, according to Doug Peta at J. & W. Seligman & Co. Another sign is the big numerical changes in the instability of the stock market, according to Barry Ritholtz at Fusion IQ.

The article reports that investors looking for positive developments were hardpressed to find them, as the few efforts to rally were cannibalized by sellers. According to traders, the investing community has been quick to sell shares on rallies, taking advantage of brief surges to get out of positions with profits. Art Hogan, chief market strategist at Jefferies & Co., says the path of least resistance in the market is down.

The article reports on the reluctance of investors to buy debts issued by auto-parts makers in the U.S. in June 2008. Investors are wary of the companies after the consumer confidence report from the Conference Board showed that the number of consumers who want to buy cars fell to 4.8% and the decision of auto-makers to reduce production. The bonds issued by American Axle & Manufacturing Holdings Inc. fell by 11 cents. The cost to insure the credit-default swaps of TRW Automotive Holdings Corp. was $583,000 compared to $342,000 in May.