By Bill Taylor-CEO, Fintegration/FintekNews & CIO, TLC Capital Group
12/13/16 Daily Closing Analysis – NASDAQ Fintech Index (KFTX)
What downside? Laughing off yesterday’s slight slide, the NASDAQ KFTX fintech index bounced back up to 1076.56 with a gain of 5.66 points (+0.53%). That brings the index back to within 2 and a half points of last week’s all time highs. Like I asked yesterday, is the punch bowl just being refilled? Seems like the party bulls have a tanker truck filling the “happy bowl”.
With that note of ‘sarcastic caution’ let’s check the issues that moved 2 points and or 3% today.
ADS +2.08 (232.68)
BKFS -1.25 (37.45) -3.23%
FDS +2.29 (167.54)
PAY +1.41 (17.85) +8.58%
SPGI +3.19 (116.69)
So, with only 5 “players” in the movement game today and 34 stocks up, 14 down and 1 unchanged, what happens next?
Well, how about a FED announcement at 2pm EST tomorrow that they will indeed raise interest rates slightly. Got that one pretty well covered. Next, gotta watch the language for forward guidance but I kinda sorta maybe think the whole market (fintech certainly included) is getting a bit frothy. Prudence says take some money OUT, but the punch bowl says margin up for the last blow off. I say, sleep well tonight, it’s going to get “fun”.