Shares of fast-growing companies are leading the 2023 stock rally, but some investors say they don't have much more room to run.
The Russell 3000 Growth Index has climbed 10% this year, outpacing the Russell 3000 Value's 4.5% advance. The rally marks a sharp reversal from last year when value stocks, or those that trade at low multiples of their book value, or net worth, stood out in a down market.
It's a Richcession, Not a Recession. Here's Your Investing Playbook.
Big companies are announcing layoffs, home and stock prices are wobbling, inflation is squeezing household budgets and the Federal Reserve is still raising interest rates. Not surprisingly, Americans have been hearing the "R" word a lot. It's the wrong one.
The U.S. could still skirt a recession, but it is already in a richcession. That's when, amid economic uncertainty, the well-off feel more of the bite.
U.S. Households Lifting Economy After Being Stung by Inflation Last Year
Fresh figures on jobs and prices drove the economy's surprising vigor this year, joining rising household incomes, consumer resilience and other data that have persuaded investors the Federal Reserve's battle against inflation is likely to be a longer one than they hoped.
Layoffs remained historically low last week while supplier prices increased in the year through January by 6%, faster than expected but down from 6.5% in December, the Labor Department said Thursday.
UK Retail Sales Rebounded in January, Boosted by Sales Promotions
U.K. retail sales increased on month in January after contracting at the year end, suggesting consumer spending entered the year on a stronger footing even as high inflation continued to squeeze Britons' purchasing power.
Retail sales volumes rose 0.5% in January from the previous month, data from the Office for National Statistics showed Friday, beating the 0.2% rise expected from economists polled by The Wall Street Journal.
Biden 'Remains Fit for Duty,' White House Doctor Says
WASHINGTON-President Biden's doctor said Thursday the 80-year old "remains fit for duty" following his most recent physical examination and ahead of an expected re-election campaign.
Dr. Kevin O'Connor, the president's physician, wrote that Mr. Biden takes medication for non-valvular atrial fibrillation, high cholesterol, gastroesophageal reflux and seasonal allergies, according to a statement released by the White House.
Democrats Renew Push for Gun-Control Legislation
WASHINGTON-Democrats are renewing their push for tougher gun control, seeking to expand background checks and build on the passage of a compromise firearms package last year.
Sen. Chris Murphy (D., Conn.), a longtime proponent of gun control in the Senate, reintroduced the Background Check Expansion Act on Thursday, a bill that would expand federal background checks to all gun sales and private transfers between individuals. Bipartisan legislation last year expanded checks for buyers under 21 years old.
The Toxic Chemicals Spilled by the Ohio Train Derailment: A Visual Breakdown
A Norfolk Southern cargo train of 150 cars derailed near the Ohio town of East Palestine close to the Pennsylvania border on Feb. 3. Of the 38 railcars that derailed, 11 were hazardous-material cars, and officials assumed the contents of nine cars had vented, seeped into the ground and nearby waterways, or burned.
Earthquakes Weigh on Turkey's Already Struggling Economy
KAHRAMANMARAS, Turkey-The earthquakes that devastated Turkey and Syria last week are heaping new stresses on the Turkish economy, posing a challenge for President Recep Tayyip Erdogan who is facing an election this year.
The quakes cut a path of destruction through a core industrial region in Turkey around the cities of Kahramanmaras and Gaziantep, home to factories exporting everything from clothing for Western brands, jewelry, pots and pans, and iron. It also devastated some of the country's agricultural infrastructure producing fruit, vegetables, grains and seeds. Now, the region is littered with damaged and destroyed industrial facilities.
U.S. Watchdogs Want to Deploy Staff to Ukraine War Zone to Track Arms, Aid Up Close
WASHINGTON-Top oversight officials responsible for tracking over $110 billion in U.S. military and economic aid to Ukraine said they would press to deploy auditors and investigators directly into the war zone to beef up monitoring as the scale and scope of American assistance expands.
Inspectors general from the Pentagon, State Department and the U.S. Agency for International Development said in a joint interview with The Wall Street Journal that, thus far, they have been able to conduct critical oversight tasks remotely using personnel based in Washington, Poland and Germany.
Teens' Mental-Health Distress Could Be Worse Than CDC Data Suggest
America's teenagers are distressed coming out of the pandemic, reporting record levels of sadness and suicide risk, according to a report released this week by the Centers for Disease Control and Prevention.
A closer look at how these numbers come together suggests that the data might be a little bit off: If anything, teens' distress levels could be higher than reported.
Justice Department to Increase Scrutiny of Technology Exports, Investments
A senior Justice Department official on Thursday said the agency would intensify its efforts to block foreign adversaries such as China and Russia from obtaining sensitive data and technologies, including by launching a new partnership with the U.S. Commerce Department.
The partnership, dubbed the Disruptive Technology Strike Force, will pair federal prosecutors with Commerce Department agents to investigate and prosecute criminal violations of U.S. export controls laws, Deputy Attorney General Lisa Monaco said in a speech in London.
Write to ina.kreutz@wsj.com TODAY IN CANADA
Earnings:
Air Canada 4Q
Uni-Select 4Q
Economic Indicators (ET):
0830 Dec International transactions in securities
0830 Jan Industrial product and raw materials price indexes
Stocks to Watch:
Dundee Precious Metals 4Q EPS 18c; 4Q Rev $152.9M; 4Q Cont Ops EPS 19c; 4Q Adj EPS 18c
Killam Apartment REIT 4Q Loss C$9.81M
Superior Plus 4Q EPS C$0.27; 4Q Rev C$1.07B >SPB.T
TransAlta Acquires 50% Interest in Early-Stage Pumped Hydro Energy-Storage Project; Taking Stake in Tent Mountain Project in Alberta Owned by Montem Resources; TransAlta, Montem to Form Partnership and Jointly Manage Renewable Project; Acquisition Includes Land Rights, Fixed Assets, Intellectual Property; Project to Be Developed Over Next Four Years; Construction to Start as Early as 2026 and Comml Ops Between 2028 and 2030; TransAlta to Pay Montem About $8M Upon Close, With Milestone Payments of Up to $17M; Expects Deal to Close in March; 320MW Pumped Hydro Development an Environmentally Sustainable Way to Manage Increased Renewable Electricity Generation
Expected Major Events for Friday
07:00/UK: Jan UK monthly retail sales figures
07:00/GER: Jan PPI
07:45/FRA: 4Q New home sales
07:45/FRA: Jan CPI
10:00/ITA: Dec Balance of Payments
13:30/US: Jan Import & Export Price Indexes
13:30/CAN: Dec International transactions in securities
13:30/CAN: Jan Industrial product and raw materials price indexes
15:00/US: 4Q Advance Quarterly Services
15:00/US: 4Q Quarterly Retail E-Commerce Sales
15:00/US: Jan Leading Indicators
All times in GMT. Powered by Onclusive and Dow Jones.
Expected Earnings for Friday
AMC Networks Inc (AMCX) is expected to report for 4Q.
AdvanSix (ASIX) is expected to report for 4Q.
Air Canada (AC.T) is expected to report for 4Q.
American Axle & Manufacturing Holdings Inc (AXL) is expected to report $0.05 for 4Q.
Arbor Realty Trust (ABR) is expected to report for 4Q.
AutoNation (AN) is expected to report for 4Q.
Barnes Group (B) is expected to report for 4Q.
Blade Air Mobility Inc (BLDE) is expected to report for 4Q.
CenterPoint Energy Inc (CNP) is expected to report for 4Q.
Corebridge Financial Inc (CRBG) is expected to report for 4Q.
Cowen Inc (COWN) is expected to report for 4Q.
Deere & Co (DE) is expected to report $5.57 for 1Q.
Liberty Broadband CL A (LBRDA,LBRDB,LBRDK) is expected to report for 4Q.
Liberty TripAdvisor Holdings Inc - A Share (LTRPA,LTRPB) is expected to report for 4Q.
Marcus & Millichap Inc (MMI) is expected to report for 4Q.
National Healthcare Corp (NHC) is expected to report for 4Q.
National Presto Industries Inc (NPK) is expected to report for 4Q.
PPL Corporation (PPL) is expected to report for 4Q.
Pediatrix Medical Group Inc (MD) is expected to report for 4Q.
SIFCO Industries (SIF) is expected to report for 1Q.
Satellogic Inc (SATL) is expected to report for 3Q.
Schmitt Industries (SMIT) is expected to report for 2Q.
System1 Inc (SST) is expected to report for 4Q.
Uni-Select Inc (UNIEF,UNS.T) is expected to report for 4Q.
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ANALYST RATINGS ACTIONS
Activision Blizzard Raised to Buy From Hold by Deutsche Bank
ACV Auctions Cut to Neutral From Overweight by Piper Sandler
Avient Raised to Outperform From Perform by Oppenheimer
Baker Hughes Raised to Overweight From Neutral by Piper Sandler
Cambridge Bancorp Cut to Neutral From Buy by Janney Montgomery Scott
Cambridge Bancorp Cut to Neutral From Buy by JP Morgan
CarGurus Cut to Underweight From Neutral by Piper Sandler
Coinbase Cut to Neutral From Buy by DA Davidson
Electronic Arts Cut to Hold From Buy by Deutsche Bank
Eli Lilly Cut to Sell From Hold by Societe Generale
Fastly Raised to Buy From Hold by Craig-Hallum
Fastly Raised to Buy From Neutral by DA Davidson
Floor & Decor Holdings Cut to Market Perform From Outperform by Telsey Advisory Group
Galera Therapeutics Raised to Buy From Underperform by B of A Securities
Generac Raised to Buy From Hold by Canaccord Genuity
(MORE TO FOLLOW) Dow Jones Newswires
02-17-23 0627ET
