There is no question that the battle the FED has been fighting is deflation since the deleveraging started in 2008. In essence the FED has absorbed 3 trillion dollars of overleveraged assets and are now coming to the end of…Continue Reading →
See an article from Seeking Alpha: http://seekingalpha.com/article/1777402-the-feds-surprise?source=email_rt_article_readmore
Headlines today point to weak durable goods numbers with one exception (ex aircraft which the top 3 percent predominately fly personally and the bottom 97 percent use to get their Amazon orders filled) . Corporations that sell products that don’t fly well might take…Continue Reading →
Is the Apple bounce over? See chart here with a comparison of the Apple stock price to the XLK Technology Index ETF. What we see is the potential of a head and shoulders relationship in comparison to technology stocks. …Continue Reading →
This article about Ray Dalio is worth a look. I agree with most of his cycle work and the 2018 date he throws out is not far off the 2017 date that I use as a benchmark. http://dealbook.nytimes.com/2013/10/21/economic-theory-via-youtube-and-cartoon/?smid=pl-share
Does today look like something that you have seen before, like in 1999-2000. Goggle, Amazon, and Netflix, the star children of Bubble # 2, and even Apple, the star child of Nasdaq Bubble # 1.9, have market action that makes…Continue Reading →
One of the Macro indicators that we follow is the gold-stocks relationship. With deflation seeming to appear to be the main factor the Fed is fighting gold would not seem to be a market to pay much attention. However, going back to…Continue Reading →
With the Fed backstopping the action of Congress with easy money we are initially seeing a no-consequence psychology take over the markets. Our comments yesterday pointed out the real economic issues. Bottomline, the Granville indicator still shows the market rolling…Continue Reading →
1) Is it becasue the market and most participants thought that there would be a last minute deal and so everybody is long ? NO. 2) Is it because we get to see this all again after Christmas? PROBABLY NOT….Continue Reading →