September 27 Low tested,
Posted at 11:45 AM, after the whoosh.
Update at 5:15 PM The Macro Valuation level held by a slim margin. Now we have three days of data to digest, PPI, CPI, Retail Sales.
The Marco total market valuation low of September 27th was tested this morning, this valuation is a total of marked to market valuation of stocks, bonds, commodities, real estate and precious metals. This number is based on closing prices we still have 3 hours to go in this session, but the intensity of this morning’s selling pressure and the rebound are worth noting.
More as this day moves forward,
but it seems to me that the short sellers sold a lot of garbage last week and then have been pressing the Solid stocks that will be center stage for the New Economy. Here is the table of sector performance for two periods,
1) first the important period since inflation peaked on 6/6/22, and 2) the period since the FED started its initiative to run an inflation scare campaign on 9/19/22. Importantly our New Economy stocks have done well since the model portfolio was built on 5/11/22. Also important is how the short sellers have heavily shorted these stocks over the past couple of weeks.
Since 6/6/22 Since 9/19/22