Do You Like This Market?
Do YOU like this market? I sure don’t. Interestingly, we have a failed bullish breakout on our hands with bonds:
Finance
Data Still Pointing To Higher Equity Prices
“Davidson” submits: The media and most advisors take every monthly economic release as ‘do-or-die’. Lost in the rush to trade on the most recent information are the routine adjustments to economic reports in later months which make initial interpretations meaningless. Today’s employment numbers were deemed ‘weak’, but as the chart of the Household Survey Employment shows, the…
Market Volatility? Hang On And Enjoy The Ride
As you are no doubt experiencing, stock market volatility as spiked this year with the S&P 500 dropping or rising 2% or more on eight different days. Jolts of this size didn’t happen at all in 2017. Source: Bloomberg, LP The ramp up in volatility serves as a good opportunity to expand on the idea that…
Macro Changes For Gold And Stocks
Since early 2016 we have been carrying forward a theme illustrating that until the macro trends in place since 2011 change, the situation would be as is, stocks trending up and the precious metals in consolidation/correction. The current trends were kicked off symbolically, and functionally to a degree, by the Fed’s concoction of Operation Twist,…
Economy Facing Extended Downside Of Debt Mountain
The debt hang-over will suppress saving and spending ability for an extended period in Canada (and other countries), even if rates don’t move higher from here. Laurie Campbell, CEO of Credit Canada discusses how indebted Canadians can manage their debt as the Bank of Canada gets set to hike rates.Here is a direct video link. Video…
When Will Electric Cars Take Over The Roads?
The age of the electric vehicle (EV) will be here sooner than you think. Out of 1 billion cars in the world, only 2 million are electric. But that will soon change, as costs diminish, and more governments encourage the adoption of EVs to cut carbon emissions and fight urban pollution. According to Bloomberg, by…
ECRI Weekly Leading Index Update – Friday, May 4
This morning’s release of the publicly available data from ECRI puts its Weekly Leading Index (WLI) at 150.0, down 0.4 from the previous week. Year-over-year the four-week moving average of the indicator is now at 3.56%, up from 3.08% last week. The WLI Growth indicator is now at 4.1, up from the previous week. The…
Investor Sentiment Continues To Be Less Bullish
This week’s Sentiment Survey report from the American Association of Individual Investors continues to show a falling trend in the level of bullishness of individual investors. This week’s bullishness reading was reported at 28.4% and down from 36.9% in the prior week. The current bullishness reading is near the minus 1 standard deviation level and these sentiment…
Jobs +164K, Employment +3K, Nonfarm Wage Growth +0.1%, Unemployme
The BLS reports March jobs as +164K with the unemployment rate falling to 3.9%. Revisions were positive, wages anemic. Initial Reaction Today’s establishment survey shows jobs rose by 164,000. The household survey (Table A) shows employment rose by a mere 3,000. Once again there are wild swings and divergences between the two surveys. The Econoday consensus…
Elliott Wave View: Gold Entering Buying Areas
Gold short-term Elliott Wave view suggests that the rally to 4/11 high at 1365.24 ended Minor wave B. Below from there, the decline is unfolding as an impulse Elliott wave structure in Minor wave C of (B) lower. This structure forms a bigger FLAT Elliott Wave structure which starts from 1/25 peak. Internals of each leg to the downside,…