Market Wrap-Up for May 18 (WMT, MA, V, GS, WFC, TJX, more)
It's amazing to see the angst a down day or two causes the financial media. The cavalry of market experts are lined up at the gate and ready to tell investors that any concerns about the current economic environment is totally misguided.
Having been a witness to many different market environments, I can assure you that sometimes bad news is actually bad news. The key is to lower the noise that comes over the television and figure out how to maneuver through whatever mess a market can be going through. One of the concerns we are looking at right now is the weakness in the Euro. This will certainly have an effect on a good many S&P 500 companies as well as many dividend names we follow. You will have noticed we have taken off some big name companies from our recommended list. The Euro effect is certainly a key reason for our concerns. We are hoping the potential pullback will price in the risks and then look to re-initiate some of the names as recommendations. We are still evaluating the current names on our list for any further moves we may be considering. At the same time, we are on the lookout for stocks that could be good plays to add from our watchlists as well.
Looking at today's action, the markets appeared on the way to solid gains, but sellers showed up in the early afternoon to change the day's outcome. Wal-Mart Stores ( WMT ) closed up despite the pullback. On the other hand, retailers TJX Companies ( TJX ) and Abercrombie & Fitch ( ANF ) were lower following their results. One of the negatives that stood out today was the action in financial plays. Mastercard ( MA ) , Visa ( V ) , Wells Fargo ( WFC ) and Goldman Sachs ( GS ) were huge underperformers today. There are key reports headed our was as we continue the trading week. We'll be watching for results out of Hewlett Packard ( HPQ ) , Target ( TGT ) , and Deere ( DE ) among others. Volume on the NYSE ticked up to 6.17 Billion shares on the NYSE, while the NASDAQ traded 2.36 Billion shares.