Rotational Trading

Everything that was hot in 2020 is now cold, and vice versa. In a so-called rotational trade, activity has shifted away from stocks related to virtual activity and back to retail and face-to-face. See article here, yahoo!.

SPAC

 As an alternative to the traditional IPO process, Special Purpose Acquisition Companies (SPACs) have surged in popularity. For a primer on this frenzy, check out this article (yahoo!).

GameStop

 The story of GameStop has drawn wide media attention. The underlying drivers involve short sales, market momentum, and liquidity. For a good summary, check out this article (yahoo! finance).

A Good Year Ahead?

 Recent technical movements suggest that the market may be poised for even larger gains. Check out this article from yahoo! Finance.

Here Comes Santa Claus

 See here (yahoo! finance) for more on the so-called "Santa Claus Rally." The five trading days before Christmas, combined with the two after, are, on average, the best seven trading days of the year.

Correlation Is Not Causation

 A number of studies have looked at such items as the "Super Bowl Indicator" -- i..e, the effect on the stock market of which division's team wins the Super Bowl. Others include the impact of a Triple Crown winner in horse racing. The newest one is the returns in the market during time periods when McDonald's is selling the McRib, versus when they are not. There is a strong correlation to returns, but this is obviously not causation. See article here (Of Dollars and Data).

Tesla Splits Stock

 To make the stock more accessible to investors, Tesla is enacting a 5:1 stock split. Given that the recent share price was about $1,400, the split should reduce the stock price to under $300. This follows a similar move by Apple, which announced a 4:1 split. See article here, WSJ.