Are the Big Guys Running…

The Big Guys seem to be running as the Trump story unfolds. I always watch three stocks to see what the Big Money is doing, i.e. the base where inequality sits. Three stocks are a good representation, KKR, BLK, and APO. I watch them basis the S&P 500. Today at this moment they are down 1.6 to 2.1 % while the S&P is only down 0.4 %.

Let’s broaden the analysis next. One of two posts. Here are two charts that compare the Big Guys to the little people. The first chart using monthly data goes back to 2011 when Bernanke unleashed funny money. What you see is the Big Guys had a difficult time during the Trump term, 2016 to 2020. And then with the FED / Administration money flood in March 2020, they found the secret, to utilize pricing power i.e. inflation, to run the board, especially after July 2024. Their peak comparison versus the little people was on November 6, 2024.

The second chart using daily data and the red line when Biden dropped out shows more detail into the current setup. You can probably pick your own conclusion to what is behind the peaking of KKR, BLK, and APO vs. the market