Alan Thomson, chief executive officer at Intervallum Technologies — which has developed a factor-rotation index based on evolving market conditions — says that the market's strong conditions are "durable," but that a "fragile" macro environment has created stresses. This makes for a "thin-ice state," where the market shows stability and could stay that way for the foreseeable future, but the underlying risks can not be ignored. He noted that should not put investors out of the market, but should instead have them aware that trouble is possible and to factor downside risk potential into their near-term outlook.
Vijay Marolia, chief investment officer at Regal Point Capital, looks at the big start that the latest earnings season got off to last week thanks to some brand-name financial companies, and he talks about two companies that he thinks are must-watch news as earnings season transitions to more of the consumer and industrial names. He also discusses what he's looking for in companies from all industries to make sure they are staying on top of opportunities in the business world.
David Trainer, founder and president at New Constructs, put five different stocks in the Danger Zone this week, noting that he expects them all to miss earnings estimates because Wall Street has been listening to whisper numbers or allowing legal accounting tricks to artificially inflate the numbers.
Plus, Chuck answers a listener's question about whether he can keep contributing to a Roth IRA now that he has retired.