25 terms

Fundamentals and macro

CPI (Consumer Price Index): The monthly US inflation report measuring the change in prices of a basket of consumer goods and services.
Dividend: A cash payment a company makes to shareholders, typically quarterly; you must own the stock before the ex-dividend date to receive it.
DXY (US Dollar Index): An index of the dollar against six major currencies, weighted heavily toward the euro; the shorthand for dollar strength.
Earnings call: The conference call after an earnings release where management discusses results and takes analyst questions.
Earnings report: A company's quarterly release of revenue, profit, and outlook; the most important scheduled event for an individual stock.
Economic calendar: A schedule of upcoming data releases and central-bank events with their consensus forecasts and impact ratings.
EPS (earnings per share): A company's net profit divided by its shares outstanding; the number most earnings headlines compare against estimates.
ETF (exchange-traded fund): A fund that holds a basket of assets and trades on an exchange like a stock, tracking an index, sector, commodity, or strategy.
Federal funds rate: The overnight interest rate banks charge each other for reserves, set as a target range by the FOMC; the base rate for the US economy.
FOMC: The Federal Open Market Committee, the Federal Reserve body that sets the US federal funds rate at eight scheduled meetings a year.
GDP (Gross Domestic Product): The total value of goods and services an economy produces, reported quarterly as an annualized growth rate.
Guidance: Management's forecast for future revenue, earnings, or other metrics, usually for the next quarter and full year.
Index: A basket of securities weighted by a rule, such as the S&P 500 (market-cap weighted) or the Dow (price weighted), used as a benchmark and a trading vehicle.
Inverted yield curve: When short-term Treasury yields exceed long-term yields; historically a recession warning with a long and variable lead.
Market capitalization: The total market value of a company: share price multiplied by shares outstanding.
NFP (Non-Farm Payrolls): The monthly US jobs report, released the first Friday of the month at 8:30 a.m. Eastern, showing jobs added, unemployment, and wages.
P/E ratio: Share price divided by earnings per share; how many years of current earnings you are paying for.
PMI (Purchasing Managers' Index): A monthly survey of business activity where a reading above 50 signals expansion and below 50 signals contraction.
Quantitative easing (QE): A central bank buying bonds and other assets with newly created reserves to push down long-term rates and add liquidity.
Quantitative tightening (QT): A central bank shrinking its balance sheet by letting bonds mature or selling them, draining liquidity from the system.
Rate hike and rate cut: A central bank raising or lowering its policy interest rate, usually in 25-basis-point steps.
Risk-on / risk-off: A shorthand for market mood: risk-on means money flows into stocks, crypto, and high-yield currencies; risk-off means it flees to dollars, yen, Treasuries, and gold.
Sector rotation: Money moving between industry groups as the economic cycle or interest-rate outlook shifts.
Unemployment rate: The share of the labor force actively looking for work but not employed, reported monthly with NFP.
Yield curve: A plot of Treasury yields across maturities from 1 month to 30 years; its shape reflects expectations for growth, inflation, and Fed policy.

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