If a trader or investor expresses an expert opinion where he focuses on the fact that he is well versed in the macro market and can confidently predict what will happen next and how events will develop, there will be too little truth in his words.
The fact is that everywhere we observe how inflation is growing, financial markets are changing, jobs are being cut, and the policy of the central bank can hardly be called even moderately stable.
Main Trends in the Stock Market
The situation is fueled by the pandemic, which hinders the ability to confidently predict even the next 3-6 months. Covid-19 has affected not only the health of people but also the activities of companies. Now they are working with an eye to a variety of restrictions.
In such conditions, it is most difficult to stay afloat for small and medium-sized enterprises with unstable management and large debts. A striking example of this is Hertz stock. Briefly about what happens to Hertz stock: Hertz Global Holdings was founded back in 1918, subsidiaries operate around the world, and behind it: more than one economic shock.
However, in 2014 Carl Icahn bought out 39% of the company’s shares and seriously influenced its positioning in the market. A year later, debts increased, and it became more difficult to fight competitors due to a significant increase in prices for Hertz services. It takes some time for the holding to get back on its feet, pay off its creditors and begin to compete successfully.
This is why good governance in tough times serves as a starting point for a rise or fall, determines the charts of traders, and decides who wins when we see the overbought vs oversold lines. And some companies are trying with all their might to increase the value of their shares, while others declare bankruptcy in order to wait out the hard times. This was the case with Hertz recently, and the latest news is the same trend.
Key Stock Market News
Among the relevant messages from various sources, the most important are the following events:
- The Wall Street Journal reports that Tesla shares are stabilizing after drawdowns and slips. This can be viewed as a prerequisite for buying stocks before their price rises again.
- Today, all investors await a key US consumer price report. This transition to standby mode forced the market to become as stable as possible. This will continue until it becomes clear whether it is worth expecting a tightening of credit policy.
- US stocks open lower. The situation is related to the fact that inflation for October 2021 reached a 30-year high. Such results of the month did not come as a surprise to traders. And although the annual price increase index rose to 8.6%, this figure fits well into the picture of expectations from the market.
- In the Stocks Under $ 10 segment, CyberKnife was noted, which was invested in 15 positions and got out of the unprofitable state to six cents profit, demonstrating the classic inverted hammer stocks.
This is only a partial overview of current news. Subscribe and stay tuned for new materials!
