Since the start of COVID we have seen a one factor market, Jerome Powell and the FED. Now we are seeing two more factors added to the market, a declining consumer factor, and the inflation factor. All this as fundamental…Continue Reading →
Chairman Powell is consistent, he is willing to keep expanding the bubble into the explosion. Embedded inflation is lurking and consumers are getting scared. Market interest rates will move to the front in this scene as the meaningless Fed Funds…Continue Reading →
I am back from vacation. It was a good period of reading and relaxing and long walks. Fed Chairman Powell is speaking tomorrow at the virtual Jackson Hole meeting. I wonder if they will have virtual steaks and mountains. In…Continue Reading →
I feel fortunate in many ways for having had the opportunity to be a part of and live through over 50 years of significant dollar related economic history. This due to the fact that I started trading as a member…Continue Reading →
As longtime readers can attest, John Mauldin has been one of my favorite market people to read. Here is his letter, out today, which does a good job at explaining the playing field. If one has been trying as I…Continue Reading →
The current runup in the market out of the March 2020 lows has gone through a series of explanatory narratives when really there have only been two primary factors, Powell’s Funny Money Fed and Biden’s hail Mary Covid/Infrastructure cash cascade….Continue Reading →
Increasing embedded inflation is the story. Our long Dollar, short Stocks, short Bonds, core trade position, and the bigger, long Dollar, short Stocks, short Bonds, short Gold, and short Commodities position is developing in this position building stage.
My view is that it does move the money around within the Bubble, but the Bubble is still intact and the pressure against the bubble boundary top that commenced on July 26 is still there. Here is the chart of…Continue Reading →
Friday’s employment report shed a little light on things but the fact remains, the market is tightly controlled by those who created the Bubble and they have not figured a way to get out of it without triggering a Crash….Continue Reading →
I have been on vacation for a week, out of touch other than by radio, came back into town to look at the markets today. It is like nothing happened for a week, the rotation in the bubble continues, just…Continue Reading →