Happy Monday everyone.
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HERE is this week’s Momentum Monday show. As always we share a few new ideas and tour the markets looking for momentum.
Late last night, the ex-President tweeted ‘I won the election’.
In that world he lives in let it be written that ‘I Won The Masters’ …since I played golf this weekend.
This morning, Moderna announced their vaccine works pretty darn.
Ivanhoff summed up last week well…
The week started with a 7% gap in the small-cap index Russell 2000. This is an extremely rare event even for the deepest and scariest bear markets. This time, the gap was to new all-time highs. Pfizer and BioNTech announced that their COVID vaccine is 90% effective and it is ready to ship in December. The market didn’t waste any time and decided to discount quicker than expected economic recovery. The sectors that were hit the hardest in 2020 gained the most – restaurants, hotels, airlines, anything related to leisure, financials, energy. In the meantime, the stocks that had one of their best years in 2020 due to social distancing and working from home were obliterated to the tune of 20-30% in a week.
While the continued great vaccine news is good for my land and air based watchlist led by Simon Properties, MGM and Boeing, it will likely lead to more selling in the cloud stocks and work from home themes (Zoom, Peloton etc).
The one area of technology that continues to boom is what I call ‘fashology’. Last week it was Farfetch that exploded to all-time highs.
Charlie’s 5 charts Friday is always good. I wonder if this migration slows down with a vaccine…
It warms my heart to see the bull market in puppies during COVID. Everyone should have a puppy.
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