CLICK ON CHART TO ENLARGE Google rallied strongly from 2005 until 2007, gaining over 100% in this short time frame. In 2007, it created a reversal pattern (bearish wick) at (1), which ended up being an important high. After that reversal pattern, Google and the S&P 500 were both cut in half. Of late Googles…
New home sales unexpectedly plunged 6.8% to 482,000 annualized units, far below any Bloomberg Consensus Estimate. Volatility is common for new home sales and there’s plenty of it the June report where the headline plunged 6.8 percent to a far lower-than-expected annual rate of 482,000 and where revisions erased 40,000 from the prior two months. But…
The Central Planners who thought that buying shares to prop up the stock bubble was an excellent fix are about to find out the true meaning of toil and trouble. The actual line from Shakespeare’s Macbeth is double, double, toil and trouble, fire burn, and cauldron bubble but for the purposes of analyzing what happens when authorities prop up…
Less than a decade after a housing/derivatives bubble nearly wiped out the global financial system, a new and much bigger commodities/derivatives bubble is threatening to finish the job. Raw materials are tanking as capital pours out of the most heavily-impacted countries and into anything that looks like a reasonable hiding place. So the dollar is…
As commodities carnage and credit cracks, talking heads remain intentionally ignorant in there sheep-like mantra to buy and hold stocks no matter what. Ever hopeful that ‘growth’ and the ‘future’ will fix any and all over-valuations, even with the current record low number of stocks trading ‘cheap’, they continues to ignore the facts. As Professor Bruce…
The yen has been sidelined this week. It is flat against the dollar. Japanese stocks and bonds are also little changed. The benchmark 10-year bond yield has fallen by less than two bp on the week, the least among the major bond markets. The Nikkei is off 0.3% on the week, which is the second…
Shares of Capital One Financial Corporation (COF – Analyst Report) fell nearly 5% in the after-market trading session following the second-quarter 2015 earnings miss. The company reported adjusted earnings from continuing operations of $1.78 per share, which lagged the Zacks Consensus Estimate of $1.97. Moreover, earnings came in below the prior-year quarter figure of $2.04 per share. Capital One…
Today’s release of the publicly available data from ECRI (Economic Cycle Research Institute) puts its Weekly Leading Index (WLI) at 133.4, up from 132.4 the previous week. The WLI annualized growth indicator (WLIg) is at 0.3, down from the previous week’s 0.4, and off its interim low of -4.7 in mid-January. “Recoveries Remain Resilient” ECRI currently features…
Written by John Lounsbury and Steven Hansen The headlines say new home sales declined from last month. The rolling averages smooth out much of the uneven data produced in this series – and this month there was an improvement in the rolling averages.The data was revised downward in the previous months making the bad headlines even worse than…
