Previous 10 | Next 10 |
The Fed is changing its stance, and so may the stock market. Instead of a relentless march higher in equity prices, we may be in the midst of a 15-18 month trading range as the battle between the bulls and bears rages on. Volatility in the market tends to reduce over time, everything ...
The flattening Treasury curve likely has more to do with the market's failure to recognize growing structural inflationary forces. Exceptionally high inflation has turned the U.S. Federal Reserve notably hawkish. Commodity prices continue to climb, with oil touching $90 per barrel...
Stocks and bonds sold off in January as markets repriced for a more aggressive pace of central bank tightening and increased pressures on the global earnings recovery. Tech and other pricey high-growth stocks tend to underperform in periods of rising interest rates. Value returns ...
TLT has become very unpopular as investors don't trust a forty-year bull market. Many investors confuse the Fed's overnight lending rate with long-term yields. The U.S. Fed's data for new home prices experienced its first pullback in a long time. For further details see: ...
S&P 500 earnings could be great this year. Actual dollar increase in net income every quarter always happen around the mega-cap reporting period. Maybe liquidity is coming out of the global financial system even faster than we think. For further details see: S&P ...
For investors who want to earn a reasonable return without taking excessive risks, diversification still works, and we think you’re going to need more of it this year. The weighing of the high-flyers is not over. Commodities had another good week, and the 1-year return is getti...
A strong jobs report gave investors confidence that the economy can absorb tighter monetary policy. Stocks performed well from 2016 through 2018 when the Fed last embarked on a rate-hike cycle and balance sheet runoff. It was not until long-term rates hit 3.25% that the stock mark...
Uncertainty is ruling the stock market these days and investors are trying to reposition themselves so as to strengthen their portfolios for what's to come. We must remember that the stock market indices are dominated by just a few companies so that their swings, as we saw this week w...
Volatility and precious metals are the only major indices to gain ground year-to-date. Hardest hit are the tech-heavy NASDAQ and the small-cap Russell 2000. Financials are benefitting from higher Treasury bond rates and the soon-to-be-implemented short-term rate increases. Technol...
In politics and economics, a Potemkin village is any construction (literal or figurative) whose sole purpose is to provide an external façade to lead the population to believe the country is faring better than reality. The Fed is now discussing reversing monetary policy (by hikin...