Stocks: US Equity indexes continued to make new highs, with exception of the Transports which are attempting a key bullish reversal after a recent price correction. Russell-2000 small caps also failed to achieve a new high and may be encountering some resistance. Lately, the real standout has been the interest rate sensitive Utilities index, which cleared […]
Market Commentary: August-3-2016 Some positive economic data releases gave bears a chance to pause. Starting with Germany, which is the EU’s locomotive engine for growth, it reported robust PMI readings @ 55.3 for Composite levels and 54.4 for Services. Signs of expansion and ongoing strength were also apparent in the EU region overall based upon […]
Yellen “Brings It” and Bulls “Leave It” With Selling Yellen emphatically declared to the market that she does not need a unanimous vote to return to a normalization of monetary policy. Inflation doves will argue that some slack exists in the Fed’s target inflation and that global economic weakness should not be ignored. However, Yellen isn’t interested […]
Economic Data Continues To Support Recovery and Rate Hike Thursday’s economic data supported the Fed’s thesis of continual economic recovery as this week’s Jobless Claims report indicated a healthy labor market with unemployment claims at only 271k vs consensus @ 270k and previous @ 276k. Almost sealing the deal for an interest rate increase in December […]
No Higher Ground Without Solid Ground Equities came out of the gate with a bad start this morning and never found any “terra firma” thereafter. One might blame it on today’s economic data, but Initial Jobless Claims @ 276k are still at historically low levels despite exceeding consensus estimates @ 266k. There have not been […]
Another Quiet Day It was another quiet day in the market. There will be no comments this evening. Below is our performance summary and market diary data. The SP-500 closed @ 2081.71 (+3.13 / +0.15%). The Nasdaq-100, weighed down by Apple Inc (AAPL) lagged @ 4641.73 (-13.79 / -0.30%) while the Rusell-2000 held @ 1187.70 (+3.27 / +0.28%).
In Which Do You Believe: Stronger Dollar or Inflation Monster? The most recent US monthly employment report for non-farm payrolls was so strong that it looked like it was on steroids. Will the inflation monster inside of Yellen’s head or living under her bed be treated with an incremental interest rate hike in December? However, let […]
Commentary and Performance This evening’s comments will be extremely brief, if any at all. The SP-500 was resilient once again @ 2099.20 (-0.73 / -0.03%). Finishing the day in positive territory were the the Nasdaq-100 @ 4707.23 (+4.33 / +0.09%) and the Rusell-2000 @ 1199.75 (+9.06 / +0.76%).
Commentary and Performance Even though there was not much data to sway the markets, price action among the various asset classes was most noteworthy. For example, the long bond finally grabbed the 3-handle to send treasury rates back above 3%. Another oddity was the performance of the VIX, which easily outperformed equities despite their positive […]
Commentary and Performance Manufacturing within China’s economy may be slowing down, but this is not the case in North America or Europe where both regions have reported expansion in these components of their respective economies. Equities started the
Bulls and Bears Stand Down For The Week It was the final week of trading to close out October, which is typically a scary month for investors. However, no blood was shed unless you got caught short in what turned out to be one of the best investment performance months in stock market history. (See […]
Commentary and Performance After digesting yesterday’s FOMC interest rate policy announcement, the market assigned a higher probability to a rate hike in December-2015 or early 2016. Today’s positive economic data may have exceeded any negative news, but the bearish overweight of the GDP and Home Price Index reports were enough to neutralize any bullish considerations. […]
Commentary and Performance Today’s positive economic data out of the USA and Europe combined with central banks’ global coordination to “stimuflate” their economies gave stocks another boost. The SP-500 closed @ 2017.15 (+22.64 / +1.10%) and the Nasdaq-100 settled @ 4624.09 (+120.87 / +2.68%). Small caps continue to struggle with clearing key resistance levels despite […]