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There are lots of good U.S. stocks. But even more opportunities lie beyond our borders. With that in mind, here are 3 Canadian stocks to buy.

With this stock below its September lows, we’re back to square one. How did we get here?

Despite promises of a U.S. cryptocurrency reserve, President Trump’s limited support for cryptocurrencies offers little, if any, meaningful upside for the market.

Now is the time to formulate a system that works for you. You’re more than welcome to start with the general philosophy from one of our newsletters and then tailor it to your own personality. Some rules, like cutting losses short when buying growth stocks, are absolute. Others, like how to sell can be adjusted to your own trading and investing goals.

The weather has finally turned nice here in New England, with a consistent string of 60-degree days and a couple of scorchers thrown in (we set records on Tuesday, with temperatures north of 90 degrees!). That means it’s nearly vacation time! And with vacation comes reading; I’m always on the lookout for good books, investment or otherwise, to help me unwind while I watch waves lap against the sand. Since this is a wealth advisory, of course, I’ll offer up some of my favorite investment-related book recommendations. Heck, I might even re-read one or two of these this summer. Here are some favorites …

Late last year we published a Special Report titled, “Cabot’s 10 Favorite Low-Priced Stocks for 2009.” Well, it’s been more than eight weeks since most readers received their reports, and because I recently received an inquiry for follow-up from a subscriber, I thought I’d provide it to everybody. Overall, an average investor who bought all 10 stocks and followed the instructions we gave, might have earned an average profit of 13%, not bad at all for two months at the bottom of a bear market.

Small caps paused this week to digest a few wild weeks. The S&P 600 Small Cap Index is essentially unchanged since I last wrote, which I think is a victory at this point.

Inflation may be easing somewhat but interest rates will continue to move upward, presenting a headwind for markets. Investors are acting on bargains but in restrained ways until an uptrend develops. The Explorer’s Fanuc (FANUY) is up 10% in the last two weeks and Chilean real asset play SQM is up about 25% in the last five weeks. Today, we add another new overseas play, this time from London.

Today’s Revolutionary Stock is Stratasys (SSYS), one of the two leaders of the 3-D printing business.

The overall market remains in an uptrend, but we’re seeing more and more unusual action among individual growth names, and thus are making moves mostly on a stock-by-stock basis.

The Federal Reserve yesterday maintained its benchmark interest rate while leaving the door open for further action as officials work to bring inflation back to the central bank’s 2% target. This makes sense, though markets are still a bit on edge as further increases are a possibility.

But today, we take a big swing with an aggressive stock that combines biotech with artificial intelligence - and is trading well off its highs.

Also this week, President Biden signed the $280 billion CHIPs and Science Act. American companies such as Intel and Micron Technology have announced substantial investments in chip manufacturing in an effort to lobby for these subsidies but now announce that they are pulling back as demand for chips used in electronics such as laptops and cell phones is weakening.

The Explorer had a good week with Butterfly (BFLY) up 15% and Solid Power (SLDP) up 10% this week. The S&P 500 has risen 8% in 2023 but the market gains are very narrow and concentrated, with the top five stocks accounting for most of the gains.

As we move into 2023, Explorer stocks are performing well as volatility is muted. My goal is to seek a balance between conservative and aggressive ideas so that you can select a blend that is appropriate for your circumstances and goals. I believe at some point in the first half of this year, markets will turn upward as more reasonable valuations will reignite investor interest. Today we return to a synthetic graphite idea that was a profitable trade about a year ago.

This week the cryptocurrency market is in absolute turmoil as one of the biggest exchanges, FTX, is insolvent. This is bleeding into equity markets too.

Quick Note: Due to the Thanksgiving holiday, you will receive next week’s Small-Cap update a day early, on Wednesday, November 27, 2024.

The S&P 600 SmallCap Index raced higher right after the election, gave a little back last week, found support at the previous all-time high early this week, and is now rallying again.

I think the small-cap story is starting to get out there and driving a wave of interest from investors who haven’t given small caps much thought for a few years. There is so much potential to rally from here that it can be a little hard not to get too bullish.

WHAT TO DO NOW: Start to slowly come off the sideline. Our Cabot Trend Lines and Cabot Tides remain negative, and most stocks are still south of key moving averages, so we’re remaining overall defensive—but today our Three Day Thrust indicator flashed, and while that doesn’t preclude some near-term volatility, it does hint that a bottom could be in and a good-sized rally will evolve down the road. That’s not a reason to buy willy-nilly, but given our monstrous cash hoard, we are slowly coming off the sidelines with two new small buys, adding half-sized stakes in Take-Two Interactive (TTWO) and Penumbra (PEN). Our cash position will still be around 75% after these buys; as always, we’ll follow the market from here in terms of more new buys—or backing off.