Week 02 of 2013
Another good week for equities. Earnings season has started and some sector bellwhethers have delivered some decent numbers adding to the markets 2013 growing sentiment.
The Dow finished week two up 53pts at 13488. The DOW is still some way off its 2012 highs. Certainly at odds with the FTSE which is testing 5 year highs. The FTSE 100 closed at 6122 and notched up a weekly gain of 32pts.
A virtual portfolio has been set up using the 2012 final trading day close figures as a starting point and £1000 has been invested in each stock. This does not include buying fees or stamp duty and is purely intended to be used as a benchmark or summary for each week. One newspaper top ten picks for 2013 has been included to help monitor/compare against. A pi ‘polled’ top picks list (from LSE bulletin boards) has been included this year.
Week 02 stock picks summary:
Another light week on news as some companies save their powder for earnings season.
The first drill result came in for the Hotlist via TRAP oil and unfortunately it was inconclusive. Thus it is no surprise that the stock took a hit and is the worst performer out of the ten. But with back to back drills and a cash balance that is almost higher than its market cap – it should bounce back soon.
Good performances from GKP, BLVN and MXP helped the Hotlist lead the pack in 2013. Both stocks look good for further gains if they can deliver some good news in January.
The appetite for higher risk stocks certainly appears to be better than in 2011 or 2012. The LSE bulletin boards ‘polled’ picks performed well and has quite a few smaller cap players (penny stocks) included. Volume is your friend (as they say) and there’s a plethora of AIM listed E&P’s seeing higher than usual volume of late – this bodes well if it continues.
The independent’s picks for 2013 carry the wooden spoon for now but with a gain of 5.90% it’s hardly a poor performance. A few minor % differences separate all the picks thus far which perhaps demonstrates the ‘broadness’ of the stock rally in early 2013.
Hopefully news flow will gather pace as we enter the 3rd week of January trading.
Current standings / Week 02 Results
1. TheShareHub’s 2013 Hotlist +6.53% (weekly gain of 4.32%)
2. The LSE BB List 2013 +6.11% (weekly gain of 4.12%)
3. TheShareHub’s 2013 B-List +6.05% (weekly gain of 3.84%)
4. The Independent 2013 +5.90% (weekly gain of 3.05%)