Stocks soar despite anemic GDP

As the first quarter ends Friday we see that while sentiment has exploded, economic growth is muted. On Thursday the feds released the third revision (not the final revision since it will be changed again and again) of GDP for the final quarter of 2016 and the year. The latest revision of Q4 showed growth […]

Will bond market Trump historic stock run up?

Thursday I wrote about how the stock market’s move higher seem out of proportion to where the US and global economies are. In the first 30 days after the election the S&P 500 is up 5% the best stock index move ever after a presidential election. The Dow Jones index is up 7% over the […]

Taking stock of equities run up

Yesterday we spoke of traders window-dressing their returns at year’s end to make clients portfolios look better. Monday’s trading was not that, it was the black-box algos trading up to set new all-time high records on the Dow Jones industrials, the broader S&P 500 and the tech-laden Nasdaq. The President-elect’s honeymoon is being extended as […]

June’s a tune up for rest of the year

So June is here and the living isn’t easy. Last week I wrote about the adage, selling in May and going away. Here are the index levels on 5/27/16 and for the last day of May: Dow Jones: 17,828.29   17,787.20 S&P 500: 2,090.10   2,096.96 Nasdaq: 4,901.77   4,948.06 Gold: $1221.30   $1,218.60 Silver: $16.30   $15.99 US 10-year: […]

Market’s moving (just) average

Market gyrations from day-to-day are back in the norm. Up 80, down 100, up 90, and down ? This is the tell-tale sign of markets in transition. But which way will they move? Lack of conviction points to lower lows as rallies are seen as short covering. The idea that the Fed will move rates […]

Why is your nest egg still in the stock market?

Wake up! What is the upside to keeping your 401(k) or other retirement funds in stocks. Did you learn nothing from 2008? You are on the wrong side of the Federal Reserve and a global recession. The major indices are down over 11% this year alone. More than $16 trillion has been lost in global […]

Fed vice chair Fischer tries to talk up inflation

Former Israeli central banker and now Vice Chair of the Federal Reserve Stanley Fischer was jawboning at Jackson Hole conference over the weekend, since Fed chief Janet Yellen did not attend. He believes the Fed is on track to raise rates this year, until it won’t be able too. He also said the Fed won’t […]