Biggest one-day drop since October 2000: $IBMgot hit by an AI “squeeze”
On Monday IBM experienced its worst session in more than 25 years, with the stock falling about 13% — the market apparently reacted to reports that Anthropic, with its tool Claude Code, can significantly accelerate COBOL modernization. And COBOL is precisely one of the reasons why a large number of banks,... Read more
It's quite extreme given which company this happened to. The stock had been squeezed into a very tight range in recent months. In a sense it had to give way. Unfortunately for shareholders, it broke to the downside and triggered a sell-off.
Here it is, ladies and gentlemen. Today we’re heading downhill — $SPGI cut its outlook, even though the numbers beat expectations, and the stock is already feeling it; of course it’s being followed by $MSCI and others.
So what exactly were SPGI’s results and is the stock’s decline justified? We’re reaching unprecedented levels.
What would you tell someone who wants to be invested in the semiconductor sector right now but isn't yet?
Personally, I feel the sector is very strong in the long term thanks to AI, data-center chips, and the overall trend of increasing digitization. At the same time, it seems to me that many stocks are already highly valued, and entering at this stage can be risky without a... Read more
You kind of answered yourself :) Before investing in any stock, you should have a strategy, and the best approach is probably to hold quality companies as long as they remain quality. If it's a company in a cyclical sector, downturns repeat every few years and patience can pay off. However, the cycle can also last several more years and you might miss out on decent returns. In any case, I'd probably recommend ETFs instead.
Berkshire Hathaway bought 5 million shares of UnitedHealth Group, which pushed the stock price about 12% higher in aftermarket trading. I think the previous drop was exaggerated and the shares are cheap now, so I’m not surprised it caught Buffett’s attention.
What do you think about this news? Do you have $UNH in your portfolio?
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It's quite extreme given which company this happened to. The stock had been squeezed into a very tight range in recent months. In a sense it had to give way. Unfortunately for shareholders, it broke to the downside and triggered a sell-off.