How to Survive a Turbulent Stock Market This Summer

collected by :Molly Tony

TheStreet's founder Jim Cramer will hold his latest monthly call with Action Alerts PLUS club members on July 11 at 11:30 a.m. EST. Cramer will touch on all things trade war and how to successfully navigate the markets this summer. In addition, he will reveal his latest thinking on the best-in-breed stocks held by the Action Alerts PLUS member club. Not helping sentiment on Apple is its exposure to China (thanks, trade war) and slowing smartphone demand (see Samsung's recent results). Apple is a long-time winning position for Action Alerts PLUS.

A Stock Market Crash With Chinese Characteristics

The last time Chinese stocks popped, in early 2015, was a classic example of Chinese market dysfunction. The bull market in Chinese stocks, which started in 2016, had better fundamental economic support—but that support is now eroding. An investor watches stock prices at a brokerage in Beijing on July 6. More cash trapped in China chasing fewer empty houses raises the probability of a less severe Chinese housing downturn this time around. AdvertisementA stock market crash—so far much smaller than in 2015—is something China can likely handle.

With Stock Market in Lull, Investors Pin Hopes on Earnings Boom

As it stated in Analysts expect earnings from S&P 500 companies to grow 20% in the second quarter from the year-earlier period, according to FactSet. "Earnings season should refocus investors' minds on stuff that's important," said John Thomas, chief investment officer of money-management firm Global Wealth Management. Strong sales momentum has analysts forecasting double-digit earnings growth for firms in the semiconductor, internet software & services, technology hardware, storage & peripherals and IT services industries. Shares of consumer-staples companies in the S&P 500 are down 9.1% for the year, placing them among the worst-performing sectors in the broad index. That was the fifth consecutive quarter when S&P 500 companies that reported earnings beats saw average prices moves below the five-year average, FactSet added.

This Is Not the Brett Kavanaugh Stock Market Rally - Here's Why

The Brett Kavanaugh market rally started last Friday. In all seriousness, while Corporate America is probably happy with Donald Trump's nomination of Brett Kavanaugh to the Supreme Court, the market rally is firmly rooted in simple Wall Street logic. No matter if guidance may stink, the rally at the moment is all about being positioned for big profit beats. The market, on the other hand, is in rally mode. Stock ChatIt will be interesting to see how the market reacts to PepsiCo's (PEP) second-quarter results.

The Stock Market Loophole That Screws the Little Guy

But in its own capitalist way, the public stock market is democratic: Anybody with money can buy into it and share in its risks and rewards. When you buy Twitter stock on the open market, none of your money goes to the company itself. In 2011, then, if you wanted to speculate on Twitter stock, you needed to be a well-connected insider. Now that Twitter's a public company, by contrast, anybody can do it—at prices roughly nine times more than Andreessen Horowitz paid back then. The SEC was built on a core principle: that in the world of stock price speculation, there should be a level playing field and equality of opportunity.