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In this week’s video, Mike Cintolo talks about the slow, steady improvement in the evidence he’s been seeing.

Now that CMG has been resting for quite a few weeks in a trading range between 470 and 500, I’m moving CMG back to Strong Buy.

You can’t get in too early on recent IPOs; they often stumble out of the gates. But the buying volume can announce big changes in character.

The Emerging Markets Timer is still pointed up, despite the market’s recent consolidation. Our moves tonight are increasing our Buy recommendation for Alibaba (BABA) to a full position, lowering our rating of Telkom Indonesia (TLK) to Hold a Half and returning Weibo (WB) to a Buy a Half recommendation.

The lines separating investing, trading, and gambling are fuzzy but important, and identifying which activity is which should influence where you allocate your hard-earned money.

Outsourcing can be a political hot button, as companies register complaints about sending jobs overseas and consumers gripe about incompatible language problems when they seek technological help. But like it or hate it, the truth is that outsourcing has saved American companies billions of dollars in labor costs, and it...

The overall evidence is more good than bad, but it really depends where you look—AI stocks specifically (and growth stocks in general) have been lagging, while many cyclical and value-type areas have been doing well, with more stocks breaking out on the upside and with many holding firm during some sloppiness the past two days. At this point, we’re just going with what’s in front of us: Extending our line in fresher titles that are showing strength, but raising stops on laggards and being selective given the crosscurrents that are out there.

This week’s list has something for everyone, with a decent amount of non-AI growth, along with some cyclicals and a turnaround or two. Our Top Pick is a name we missed a month ago but whose recent pullback is starting to set up a nice risk/reward situation.

The title sounds counterintuitive. After all, the market has been terrific. And technology stocks, which rarely pay dividends, are leading the charge.

The S&P 500 has spent much of this year making new all-time highs. The index has rallied 27% since late October and 46% from the low in October of 2022. But most of those gains have been driven by the technology sector, which represents an outsized portion of the S&P. Returns for the rest of the market have been rather lame.

Here’s a quick review on how to invest in emerging markets the Cabot way.

The population is aging. And it’s aging at warp speed. People 50 years of age and older now comprise a third of the U.S. population. The fastest growing segment of the population is 65 and older as an average of 10,000 baby boomers are turning 65 every single day. And it’s not just this country – aging is a global phenomenon.

We don’t know how sticky inflation will be or what the Fed will do. We don’t know if there will be a recession this year or next year or what the recovery will look like, or who will be the next president. But we do know that the population is shifting and companies on the receiving end of the torrent of dollars that will flow as a result should benefit mightily.

In this issue, I highlight another new stock to buy. This stock is cheap with strong momentum and properties that should help it perform well in any kind of market. It’s a healthcare stock ahead of a huge megatrend, the aging population.

Investing with the tailwind of a megatrend makes it so much easier to make a successful investment. It makes mediocre stocks great and good stocks one of your best investments ever.

The sellers did some damage last week, with many major indexes falling close to their 50-day moving averages. Today’s bounce obviously helps the situation, but even before today, many growth stocks were holding up well, with a few shooting ahead, despite the market’s troubles. Few stocks are running away on the upside, so we’re content to keep our Market Monitor just outside of bullish territory. But the action is another piece of evidence that growth stocks might finally be turning the corner.

This week’s list is a mixed bag of growth-ier ideas, but also some special situations. Our top pick is Forest Labs (FRX), a large company whose stock is enjoying increased institutional support. The current pullback offers a decent entry point.

Stock Name	Price	Buy Range	Loss Limit
United Rentals, Inc. (URI)	0.00	70-72	64-65
SouFun (SFUN)	0.00	70-72	60-61
IntercontinentalExchange, Inc. (ICE)	0.00	210-220	188-190
Huntington Ingalls (HII)	0.00	78-82	74-75
Generac Holdings (GNRC)	86.60	50-52	47-48
Forest Labs (FRX)	0.00	53-55	48-49
DreamWorks (DWA)	0.00	31-33	28-29
Buffalo Wild Wings (BWLD)	0.00	137-143	129-131
Arris Group (ARRS)	0.00	20-21	17-18
Advance Auto Parts (AAP)	0.00	104-108	96-98

One of the most encouraging signs I see in the market is the action of many potential leading stocks. There are more than a handful that are hanging in there despite the market’s woes. And there are a few that have actually broken out on the upside! A group that has broken free is one that I pointed out to you in my last Cabot Wealth Advisory (dated January 5)--education stocks.

Four reasons why JinkoSolar (JKS) is one of the sector’s best stocks.