Tag: reason

Stocks Could Sell-Off Again in 2020 — and the Reason Isn’t Fundamental

Put simply, a viscous combination of tax loss harvesting and profit-taking in winning names ahead of a potentially higher capital gains tax rate could put overwhelming pressure on U.S. stocks just one more time this year.

This year saw a 34% bear market induced by the coronavirus recession, a second bear market for oil and banks in June and a tech-driven 9% down-move on the S&P 500 in September.

Hang onto the roof, investors.

Tax loss harvesting could be pronounced at year end and the tax headwinds do not stop there. For the winners in this market — and there have been some big ones — investors may aggressively take some chips off the table if former Vice President Joe Biden is elected President. He would attempt to raise the capital gains tax for those earning more than $1 million a year from 20% to 37%.

There are some caveats to all of this.

Tax-loss harvesting

Although the S&P 500 has gained more than 5% year-to-date, it has been a bifurcated market, with many stocks down for the year. Tech stocks account for about 30% of the market cap of the index and have risen fiercely, with the Nasdaq 100 up more than 30%. That’s on the back of several tailwinds, the stay-at-home environment among the strongest. But a large portion of stocks on the index are down for the year. Investors may be compelled to sell.

Strategists at Morgan Stanley see 73 U.S. stocks poised for technical pressure because of tax loss harvesting. Among them are Disney  (DIS) – Get Report, down 15% year to date, General Motors  (GM) – Get Report, down 11%, Cigna  (CI) – Get Report, down 13% and Hasbro  (HAS) – Get Report,

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Jalen Ramsey and Golden Tate had a very personal reason for their fight after Sunday’s game

Los Angeles Rams cornerback Jalen Ramsey and New York Giants wide receiver Golden Tate got into a fight seconds after Sunday’s game at Sofi Stadium and had to be separated by teammates before things got too crazy.



a group of people around each other

© Provided by For The Win


Now we know what this fight was apparently about, and it was very personal – Ramsey has two kids with Tate’s sister, Breanna, and the couple broke up last year. Following the breakup, Tate told the New York Post: “I’m not happy at all with the disrespect that he’s shown towards my sister, and the things he’s done in the past.”

Ramsey responded to that last year by saying:

“We live in a society where ignorant people feel that they are owed an explanation of what goes on in our day-to-day lives … and why we make the decisions we make … we don’t have to answer to anyone but the man above. S—t is beyond overrated.”

Well, on Sunday they met on the field and Ramsey took Tate down with this powerful tackle:

Then they fought after the game:

Yup, that was definitely personal.

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