Hulbert: Surprising Connection Between Bull Market and Share Buybacks

A research study published last year in the Financial Analysts Journal found that net buybacks account for the bulk of the intermediate- and longer-term differences in stock market returns around the world. This according to a recent Wall Street Journalarticle by columnist Mark Hulbert. “This comes as a surprise,” Hulbert writes, “because the conventional wisdom is that economic growth is by far the most important factor in the outperformance of certain countries’ stock markets in… Read More

Buying the Dip Works, Study Shows

Analysis conducted by Schroders Plc shows that, after big single-day drops, 12-month S&P 500 returns have been mostly positive, according to a recent article in Bloomberg. The study reflects that, after the largest one-day stock market declines over the past 30 years, the U.S. market returned an average of 25 percent in the 12 months after the decline. In the five years following the same declines, average returns were about 14 percent, the study shows.… Read More