Nothing has Really Changed…

Other than the parts of the market that have been ignored, are now trading at a higher price. Over the weekend it actually seems like there are more unbelievers spouting their negative thoughts. So we may have a pause or not, who knows, but we are nowhere close in price or time to a significant high in my view.

As outlined over the past month or so, you can own the few stocks that everybody owns or you can own the many stocks no one wants to own, Last weeks gains pivoted to the ones no one wanted to own, At this point I am thinking that balancing these two paradigms may the way to go. Most days we seem to see the market start out with the few stocks everybody owns and then mid -day see the market gravitate to the ones no one wants to own.

On interest rates…

March 9th levels on interest rates are the new normal after FED meeting, 4.35% for the average of the 30Y+10Y+5Y+2Y. In my view there will be too much growth to allow for lower rates. The New Economy will adapt into a long term bull market format.

Greenspan’s Favorite Marker. Since we are talking about interest rates today, how about the chart of the 30-05 yr. It would appear that October 2022 was the start of the bottoming of that measure, with March 2023 and July 2023 completing the process. Now we can settle into normality.

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