1.Talked About Transports Leading Down Earlier in Week…Down 2% Tuesday….6.7% Off Highs.
Transports Break Below Sideways Post Trump Range.
Transports Break Previous 2017 Lows.
How to Invest in Water: 5 Picks
Analysts and money managers see a wave of water-related investments ahead. But there isn’t a single dominant company to bet on.
Today, for instance, the PowerShares Water ETF trades at 23.1 times trailing 12 month earnings—a tad richer than its median over the past decade, but well shy of the peak of 28.1 times. Compare this with, say, the Industrial Select Sector SPDR ETF (XLI), which is already straining at itsdecade-peak of 20.7 times trailing earnings.
Buybacks 4th qt. 2016 half the previous qt. and lowest since 2014
For years, American companies’ loved nothing more than using their cash to buy their own stock. But tastes may be changing.
But the data also suggest a shift is underway. In the fourth quarter, nonfinancial companies bought back a net $323 billion in equities, at a seasonally adjusted annual rate, half as much as in the previous quarter and the lowest amount since the second quarter of 2014.
And unlike the third quarter, companies’ capital spending surpassed their cash flows, which is a return to normal. Companies usually borrow to spend, betting the payoff from the investments more than pay off the debt.