Market Recovery: Stocks Surge Post-Halloween Sell-Off
After a rough Halloween, stocks rebounded with a robust rally on Friday. Historically, November is one of the stronger months for the market, and gains from major oil companies set a positive tone as the month began.
Weak Jobs Report Signals Potential Fed Rate Cut
A weaker-than-expected jobs number contributed to the market’s optimism. This report had some disruptions due to strikes and hurricanes affecting the Southeastern U.S. Nevertheless, this jobs data reinforces the likelihood of a 25-basis point interest rate cut from the Federal Reserve next week, which could be beneficial for the stock market.
Upcoming Events Could Shape Market Trends
Next week is significant not only for the Fed meeting but also for investor insight into the U.S. presidential election and the future makeup of Congress. While investors should prepare for volatility, there will still be opportunities, regardless of the election results. MarketBeat analysts are committed to keeping investors informed on market-moving news. Here’s a look at some trending articles from this past week.
Articles by Jea Yu
An ironic challenge in the AI sector is the shortage of power, which could slow progress. Jea Yu explored two companies working on small modular reactors (SMRs) that could offer a fast, safe, and cost-effective energy solution.
Staying with innovative technologies, Yu also evaluated QuantumScape Corp. (NYSE: QS), which is close to starting commercial production of its solid-state battery. This innovation has the potential to transform the electric vehicle market.
In a noteworthy acquisition effort, The Cigna Group (NYSE: CI) is considering purchasing Humana Inc. (NYSE: HUM). Yu discussed the rationale behind the deal, its uncertainties, and the implications for the respective stocks.
Articles by Thomas Hughes
The week saw an accounting scandal involving Super Micro Computer Inc. (NASDAQ: SMCI), which led to an independent auditing firm resigning from its role. Hughes outlined what this situation means for investors and how Super Micro can rebuild trust.
On a brighter note, leading tech companies began to report their earnings, including Microsoft Corp. (NASDAQ: MSFT). Hughes detailed analyst sentiments regarding the report, suggesting that MSFT stock might present a buying opportunity and could reach an all-time high.
The final months of the year are typically strong for stocks, and for those seeking short-term gains, Hughes highlighted two stocks that could achieve double-digit growth in 2025.
Articles by Sam Quirke
Sharing an interesting fact, International Business Machines (NYSE: IBM) has emerged as one of the top-performing stocks in 2024, gaining 35%. Sam Quirke investigated the reasons behind IBM’s rise and offered advice on entry points for potential investors.
This earnings season revealed significant investments in artificial intelligence among tech giants. Quirke noted that this trend led to some selling of shares in Meta Platforms Inc. (NASDAQ: META). Even though it may take years for AI investments to pay off, he believes this pullback could present a good buying chance.
Warren Buffett’s advice to “be greedy when others are fearful” may apply to The Boeing Co. (NYSE: BA). Quirke reported that analysts are starting to see a turnaround for the troubled company, and long-term investors may benefit from a significant rise in Boeing shares.
Articles by Chris Markoch
Do investors still presume that Apple Inc. (NASDAQ: AAPL)‘s performance affects the entire market? Chris Markoch analyzed Apple’s recent earnings report. Despite healthy results, the stock fell as expectations were not met, suggesting a potential trading opportunity rather than a risk for long-term stakeholders.
Weight loss stocks have thrived this year, making companies like Viking Therapeutics Inc. (NASDAQ: VKTX) worthy of attention. This biotech firm is poised to announce clinical trial results that could set the stage for future advancements in its GLP-1 drug category.
An alarming drop in Evolv Technologies Inc. (NASDAQ: EVLV) resulted from a mistake with revenue reporting. Markoch clarified that this differs from the Super Micro scandal, but investors should be mindful of the upcoming earnings report to ensure stability.
Articles by Ryan Hasson
Although Alphabet Inc. (NASDAQ: GOOGL) has lagged compared to its peers this year, Ryan Hasson provided insights into potential catalysts that might lead to a favorable year-end rally for the tech giant.
Meanwhile, financial stocks have had a promising month due to strong earnings and the onset of a Federal Reserve rate-cut strategy. Hasson spotlighted two prominent finance stocks that are attractive options for those seeking growth and income.
Real estate stocks could also present opportunities in 2025. Regardless of the election outcome, an increase in home construction seems likely, coupled with the anticipation of lower interest rates. Hasson identified three standout housing stocks that could benefit from these trends.
Articles by Gabriel Osorio-Mazilli
Oil stocks showcased strong earnings, and Gabriel Osorio-Mazilli identified three oil companies worth watching. Although some investors may have missed initial earnings gains, Osorio-Mazilli noted that analysts expect further growth for oil stocks in the coming months.
Historically, November and December are strong periods for the stock market. Even if stocks seem expensive right now, Osorio-Mazilli pointed out three stocks that could serve as valuable catalysts if a market rally occurs.
Contrary to some narratives in financial news, inflation signs suggest it may increase before stabilization occurs. Accordingly, Osorio-Mazilli outlined three inflation-related trades for investors to monitor closely in the upcoming months.
Articles by Leo Miller
Chip Stocks Face Turbulence: Insights for 2025 Opportunities
Last week proved challenging for chip stocks, prompting Leo Miller to delve into the sector’s dynamics. Some stocks are clearly outperforming, while others are lagging behind. This week, Miller identified three chip stocks that seem poised for growth in 2025 and discussed the reasons analysts foresee this potential.
Miller also explored an alternative approach to investing in the chip industry. This involves ASML Holding NV (NASDAQ: ASML), a company specializing in lithography equipment for chip manufacturers. Despite lowering its 2025 forecast due to weak demand, Miller argued that the market might be overreacting. Consequently, ASML’s stock may now be undervalued, presenting an opportunity for investors.
One effective strategy for spotting promising stocks is to focus on those trading significantly below their 52-week highs or lows. This week, Miller examined three stocks currently trading well off their highs that possess catalysts that could lead to expedited growth.
Insights from Nathan Reiff
As we progress through 2024, gold has emerged as a standout performer among asset classes. Yet, with gold nearing its all-time highs, analysts caution investors not to overlook silver, which is also showing strong performance this year. Nathan Reiff analyzed the advantages and disadvantages of three methods for investing in silver.
Additionally, Reiff examined a joint venture between General Motors Co. (NYSE: GM) and Lithium Americas Corp. (NYSE: LAC). This partnership reflects a growing trend where electric vehicle manufacturers are collaborating with lithium miners to secure a sufficient lithium supply to meet the rising demand for electric vehicles.
As the year’s end approaches, many investors consider rebalancing their portfolios. Exchange-traded funds (ETFs) can be an effective option for diversification while reducing risk. However, fees associated with ETFs can diminish returns. Reiff’s latest analysis highlights three ETFs that offer competitive returns while maintaining low administrative fees.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
