Bulls can be happy with today’s progress. What weakness emerged today was reversed by the close, a change on yesterday’s action where sellers dumped in the last few minutes of trading. Volume climbed to register an accumulation day. The S&P finished at the 50-day MA, but beyond that there is plenty of room beyond that…
Investors are shying away from the stock market where uncertainty and volatility are showing no signs of cooling down. This aversion was quite expected after the major U.S. bourses suffered their worst third-quarter performance in four years hit by spiraling woes that started with the China-led deceleration fears and continued till the biotech meltdown. However,…
“If all else fails, immortality can always be assured by spectacular error.” John Kenneth Galbraith By this measure, the Federal Reserve is already amongst the immortals. Oh, well done. The economic news came in weakly this morning. The ‘tax reform’ discussion on CNBC this afternoon was almost surreal in its detachment from economic reality. After the…
Today in stocks, summarized… Before we start, this is perhaps the most important chart that no one is talking about… As The longest VIX Losing Streak Since 2011 lifts stocks… Markets ramped overnight (as shown by futures), stumbled a bit on weak EU data, then rallied on weak EU data (lol) then dumped…
The US and world economies are drifting inexorably into the next recession owing to the deflationary collapse of commodities, capital spending and world trade. These are the inevitable “morning after” consequence of the 20-year global credit binge which has now reached its apogee. The apparent global boom during that period was actually a central bank driven excursion into the…
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The headlines say consumer credit rate of growth declined – and came in well below market expectations. Our analysis shows year-over-year consumer credit growth rate insignificantly declined. There continues to be moderate growth in revolving credit. The headline said: In August, consumer credit increased at a seasonally adjusted annual rate of 5-1/2 percent. Revolving…
Today I used Barchart to find what I think are the 5 best small cap technical buys. I sorted the S&P 600 Small Cap Index stocks first for technical buy signals of 80% or better and then for a Weighted Alpha of 50.00+ or more. The 5 stocks that made the cut with the highest technical buy…
Volatility has been calling shots in the investing world this year as hard landing fears in China, return of deflationary worries in the Euro zone despite easy policy measures, vulnerable emerging markets, slumping commodities and the nagging hearsay about the timeline of Fed lift-off dampened the risk-on trade sentiments on several occasions. Though the most…
The search for income is always an interesting investment dynamic. Those that stray too far out into high yield or esoteric securities tend to find themselves experiencing above-average volatility or non-correlated returns. Conversely, if you stay too conservative in duration or credit quality, your total return is likely to be measured in pennies rather than…
