Things are happening that aren't even being noticed that are so positive they knock your socks off.
Take this Chubb (CB) deal, where Ace (ACE), a very acquisitive insurer, snapped up one of the premier insurance companies in the world for $28 billion in cash and stock.
How much is Ace, run by the very smart Evan Greenberg, down on this deal? That would normally be the question. Nope, in this tape it's actually up four courtesy of the accretion of the deal and the transfer of Chubb's domicile to Switzerland, where Ace is based. The name Chubb stays, as it should, because Chubb's brand is pristine. As Pop always said, "Jimmy, use Chubb, they pay," meaning Chubb is famous for being there with the check the moment you need it. I always felt that I had done well in life when I needed Chubb. This is an amazing company and this acquisition is a stunner.
Of course, any consolidation is regarded as fantastic for the entire sector in which the takeover occurs, and this time is no different with Dow company Travelers (TRV) ramping and Hartford (HIG) rallying smartly. It's both a fever that more deals are on the horizon and a belief that pricing will tighten, making this cutthroat industry less competitive. I say be careful on that score. There are many different lines of businesses and I don't see any price relief coming. In this market, though, companies' stocks are innocent until proven guilty.
Then how about Fiat Chrysler (FCAU) surpassing Ford (F) in domestic sales, led by a 25% increase in Jeep sales. Auto sales remains red hot and they are a principal prop to the economy. Why don't the stocks move? Because they are all international and the rest of the world's not so hot, but if the market wasn't obsessed with Greece, we would be talking about this remarkable resurgence of a company that almost disappeared. (Ford is part of TheStreet's Dividend Stock Advisor portfolio.)
Then we are hearing that, at last, there could be a bottoming in the terrible casino numbers in Macau. These stocks, long popular favorites, have just been horrendous. But they are finally on the move and I think they could soar if we get any real relief from the declines. I have always felt that Wynn's (WYNN) a great operator, but it's been a total avoid. That could be changing. Not calling the bottom yet. But getting there.
Finally, there's the housing call. Hardly a day goes by without one more housing-related stock going higher. Today is Stanley Black & Decker's (SWK) turn, with a research note out that power tools could be up as much as low double digits this quarter. Makes sense: Housing formation will be the story of the second half, with only biotech takeovers rivaling the story. I like the homebuilders including Lennar (LEN), Toll (TOL) and Horton (DHI), but I particularly am enamored of Home Depot (HD) and Lowe's (LOW), which are the single best plays on the beginning of housing investment as home price improvement dictates the spend and the spend is going higher.