Tag: Stock market

Special Purpose Acquisition Company

What is a Special Purpose Acquisition Company (SPAC)?

  A special purpose acquisition company, or a SPAC, is a publicly traded shell company that raises collective investment funds through an initial public offering (IPO) in the form of a blind pool. Also called “blank check companies,” SPACs are formed strictly to raise funds through an IPO in order to acquire private companies. The […]

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Price Discovery Explained For Beginners

  What is Price Discovery Price discovery is the process where buyers and sellers determine where a transaction can take place based on supply and demand. This evaluation process uses the economic concept of supply and demand to find a price where a buyer and a seller agree to trade. The supply and demand for […]

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Best Hedges for a Devaluing Dollar

Best Hedges for a Devaluing Dollar

  Many macro investors are betting on significant inflation in the US Dollar for the foreseeable future so we put together a list of some of the best hedges for a devaluing dollar. At the risk of oversimplifying the prevailing opinions of this group, I think a basic simplification of the prevailing bearish dollar view […]

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September Effect

The September Effect: What it is and Why it Happens

  If you follow the markets long enough, you’ll see that stock prognosticators and weather forecasters have similar seasonal predictions. When the weather heats up in spring and our minds turn to the upcoming summer, the catchphrase for investors has been “sell in May and go away”. Equity returns tend to outperform between November and […]

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Snowflake IPO

Snowflake IPO Was Everything we Hoped For

  The hot cloud software firm Snowflake ($SNOW) went public on Wednesday, September 16, and the stock went nuts. Despite its IPO price of $120 per share, the stock closed its first day of trading at $253.93 after reaching an intraday high of $319.00.    Tech IPOs are scarce, and Snowflake’s IPO is one of […]

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consumer price index

Consumer Price Index: Why it’s Important to Traders

During September 2020 Federal Reserve monetary policy meeting, the central bank made a big deal of targeting its inflation objective. The Fed has determined that it needs to do whatever it can to push inflation back above its 2% target. While there are several different ways to measure inflation the most popular and widely watched […]

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Stock Market Scandals

The Craziest Stock Market Scandals of all Time

  Whether it’s an orchestrated short squeeze, an outright fraud, or insider trading, the stock market is wrought with scandal and controversy. And the kicker is that the public only hears about a tiny fraction of them.  Consider how many OTC pump and dump or insider trading schemes occur every week without anyone, but the […]

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Federal Reserve

Why Traders Should Care About The Federal Reserve in 2020

  With a temporary shutdown of a large portion of the United States economy and high unemployment, the stock market continues to rise. Things are confusing, and lots of people are blaming the Federal Reserve.  For many, it’s easy to ignore the Fed-related hysteria because those yelling the loudest are the same folks trying to […]

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Delisted

What Happens When a Company Gets Delisted?

  What Happens When a Company Gets Delisted? Delisting is a financial term describing a process where shares of a public company are actively removed from the exchange on which they had been trading. Sometimes the stocks disappear completely, but other times they don’t. Depending on the reason for the delisting, shares may continue to trade. However, […]

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