The shares have fully recouped those mid-winter losses, and are now trading up 32% year-to-date.GLJ Research analyst Gordon Johnson sees Cleveland-Cliffs gaining as the pandemic draws back and its customers resume normal economic activity. Wells Fargo offers a full range of banking services, for residential and commercial customers as well as major companies and investment firms.The corona crisis of 2020 hit Well Fargo hard, and the bank’s share price has still not recovered from the fall it took in February and March of this year. You may also concentrate your stock portfolio and just short/buy manufacturing/consumer stocks depending on direction of durable goods orders. Lagging numbers change a few months after the economy does. What to do: The WSJ recommends buying defensive stocks such as big pharmaceuticals, food, and alcohol when there is an increase in underemployment. 1. Christopher Glynn, 5-star analyst with Oppenheimer, sees GE in a fundamentally sound position. Photo credit:©, ©, © Economic indicators are key stats about the economy that can help you better understand where the economy is headed. Economic development cannot be equated with economic growth, though growth and development are related. A 100 pip move in EURUSD for example on a strong US CPI report can be termed as a strong reaction, but compare it within the larger trend, and the effect of these strong moves tend to fade away. Indicators are crucial to calculate and predict current and future economic performance. Interest rates are a lagging indicator of economic growth. The content is intended to be used for informational purposes only. If they are not buying cars, it means they are wary of their future employment prospects. Kolanovic describes a Biden Presidency combined with increased Republican strength in the House and a continued Republican Senate majority as ‘the best of both worlds.’ A divided government is unlikely to dismantle the pro-business moves taken by the Trump Administration, while Biden is likely to ease the trade war. So if the economy is doing well, this number is usually increasing, whereas if we're in a recession this … You can make economic predictions based on the patterns, but lagging indicators cannot be u… With a little research, you’ll be able to maximize your portfolio. To this end, the analyst upgraded CLF from Hold to Buy, and his $15.80 price target suggests it has a 46% upside in the coming year. In addition to cars, the company also sells spare parts and accessories, and offers insurance, car rentals, and funding for purchases, for US customers only.Vroom is a newcomer in the markets; it IPO’d in June and rose quickly, peaking in on September 1. Where to look:, Type of indicator: Leading into recessions and lagging in recovery. It was down 32% year over year, but has more than quadrupled sequentially and beat the estimates. Professor of Business, Economics, and Public Policy, Learn the Definition What Is Okun's Law in Economics, Why Deflation Doesn't Happen During a Recession. Durable goods orders are an indicator of manufacturing activity. Click here to learn more about SCFO Labs[/box]. Hedge Funds Are Finally Beating the Market in 2020. Although housing starts are a highly volatile indicator, they represent about 4% of annual GDP. Expertly identified opportunities, right at your fingertips, Real-time Market Updates & Daily Trading Opportunities, Trading Central: unlock the award-winning analysis now, Three Types of Economic Indicators That You Should Know, Vaccine Hopes Diminish as Reality Kicks in, AMZN Impulsive Trend Leads To Fresh Highs, Q4 2020 Market Outlook Report – The Home Stretch, Top 10 Trading Opportunities |The Second Half of 2017. Of particular interest, we’ve pulled the TipRanks data on two stocks that the firm predicts will show double-digit growth, and one that JPM says to avoid. For example, a down market could indicate that overall company earnings are expected to decrease and the economy could be headed toward a recession. The trade represented a $714,015 bullish bet. These sets of indicators tend to validate or deny the information from the leading indicators. Loewengart believes that a good approach for income-seeking investors is to focus on total return rather than dividend yield. A big difference between the speculation and the actual number can cause shifts in the market.