Our campus got a new building by naming it the STEM Science Tech Engineering Mathematics Building. Nvidia declared itself THE AI (Artificial Intelligence) company and wow. Check out the graph for NVDA and Apple on my blog themarketperspective.com. It hit another new high at 434 today, not bad beginning the year around 150. It has spiked both momentum indicators to about as high as the charts allow. What fun!
If you ignored my advice and jumped on NASD tech, you are up 13-16% this year. And more analysts are noting other stocks jumping into the rally as well. Apple is also in nose bleed territory.
I have covered social mood at market bottoms, still depressed and not believing the developing rally. This is hardly the case today. FOMO, Fear of missing out, is causing quant computer programs to buy tech and so, surprise, tech goes up!
Unweighted SPXEW and the transports are still way below the February highs but who cares amid the declaration of a new bull market.
The past is littered with reversals as this point, patience.
Speaking of energy markets, my recommendations of Nustar NS, Patterson UTI PTEN, Cleveland Cliffs CR, Mesabi Trust MSB, and Front Line FRO have all gained in price. And most sport nice dividends.
Big news in the Basin, Patterson UIT and Nextier agreed to merge. PTEN is up from 10 to 12 reversing today on the merger news. This merger of energy service land-based companies is similar to the offshore companies which gave us RIG, the old SEDCO and friends.
Oil prices remain stalled at the $70 level.
Rosneft, the Russian oil company, is arranging forward sales by auction of as much oil as can be produced. Russian oil has traded as much as 40% discount to Brent since the war started.
And good thing as Russia faces the worst labor crunch in years. Young men are either being drafted or fleeing the country. Russia is attempting to tax those who left the country and now work from abroad to Central Asia. At home various incentives are offered to convince others to stay.
French made Starstreak shoulder launched missiles are going into production. But deliveries are a year off, the usual sad story for Ukraine.
The field of GOP contenders widens to ten. Will this repeat 2016 with Trump taking a plurality until he leaves the pack behind? Who will America tire of first, Trump (who could have simply returned the papers) or the DOJ? Both will be getting more publicity than we want till the election, hmm, how about a news blackout on both of them?
