Technology

Buy Crude Oil Stocks or Internet Stocks on the Dip?

Hey everybody Dave Bartosiak with Trending Stocks at Zacks.com. What goes up, must come down and what comes down…well it can go to zero. The stock market and gravity both teach us that. As crisis come and go, there are these inverse relationships that pop up from time to time. During the Greek debt “crisis” it was the Euro and stocks. Before the Russia-Ukraine conflict it was the 10-year and stocks. Now, it’s all about oil and stocks. Oil goes up, stocks go down, oil goes down, stocks go up.

That’s what happened yesterday when the market shot up like a rocket while crude collapsed. Prices for West Texas Intermediate came down from over $125 to $105.

For the NASDAQ, we had a near 4% day as the four-letter tickers all benefited from the risk-on behavior. The cherry on top was Amazon’s 20-for-1 split announced after the bell.

Unfortunately, that momentum has not carried on, with tech stocks coming under pressure early and often during Thursday’s session. It’s hammering home this juxtaposition that’s taking place, the old economy versus the new economy. Old economy stocks meaning oil stocks and new economy meaning tech like internet services with stocks like Okta OKTA.

Let’s look at what has been happening with earnings estimates for both of these industries and find a few gems for the future including Chevron CVX and Globant GLOB.

Every time you share this video, a hillbilly family finds oil gushing in their backyard while hunting for squirrels. Be sure to follow the author, subscribe to the YouTube channel, Twitter @bartosiastics, and checkout Zacks.com/promo for this week’s deal on Stocks Under $10. For everybody here at Zacks, I’m Dave Bartosiak.


Infrastructure Stock Boom to Sweep America

A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.

The only question is “Will you get into the right stocks early when their growth potential is greatest?”

Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.

Download FREE: How to Profit from Trillions on Spending for Infrastructure >>

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Chevron Corporation (CVX): Free Stock Analysis Report

Globant S.A. (GLOB): Free Stock Analysis Report

Okta, Inc. (OKTA): Free Stock Analysis Report

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Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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