Previous 10 | Next 10 |
Summary Most market participants incorrectly view the market from a pure cause-and-effect structure. In so doing, they ignore the many anomalies which argue against that construct. I think the market may re-group, and make another attempt at a rally to 4300SPX. I am going ...
Summary I think everyone can agree that stocks and bonds sold off last year because interest rates rose. Interest rates have certainly risen of late but they are still below the peaks of last year and almost unchanged since stocks made their low on October 12, 2022. One of the thing...
Summary Since late 2022, the stock market pundits have been obsessed with a “soft landing”. The Fed is looking at the inflation figures coming in and they will need to keep interest rates higher for longer. The bond market has also been signaling that rates are headed high...
Summary Stocks were once again weak last week. One of the most common misconceptions is that there are true, leading indicators. Any indicator that has a leading component requires significant interpretation - sometimes they work, and sometimes they don’t. ...
Summary We check a number of "economic screws" that help hold the economy together. On balance, the economic screws are tight enough. If Treasury net-transfers are maintained, a recession in the next 6 months is unlikely. The only serious threat to the economy (and the stock mar...
Summary The January PCE report was a blowout and much hotter than expected. The market is now pricing in even more rate hikes, and higher terminal rate. Fantasyland and story time for the bulls is over. Inflation returned with a vengeance in January as the PCE report was m...
Summary The S&P 500 is reacting to 'higher for longer' rate expectations and has dropped into key support in the 3940-50 area. This crucial technical area could decide how the first half of the year unfolds. What to watch in the S&P 500 in the week ahead. Last week...
Summary On the heels of a heady January when it sometimes seemed like we were headed right back to the bubble-blowing meme stock craze of 2021, the big news in markets over the past several weeks has been a repricing of expectations about the Fed’s likely terminal rate, interest rate...
Summary Stock market bears are fixated on the belief that inflation is not only "running hot" but also "accelerating." Natural gas prices have truly collapsed, falling by way more than ever before in a short span of time. It takes time for monetary policy - which is undoubtedly tigh...
Summary I'm not buying the “Wishful Disinflation” and “Wishful Pivot” theories regarding Inflation and the Fed. "Fundamentals" and "Technicals" both suggest stocks could stay rangebound in the coming months. The investment backdrop is so fragile any forec...