No one should be surprised that the coming Fed meeting combined with a bunch of short term traders could provide a healthy short covering bounce to the markets yesterday. Next week will be a lot more important and it will…Continue Reading →
Little did Bernanke know what he was creating when he setup QE III in September 2012. Now we are getting a glimpse of how this plays out. Today we are adding the most important chart to the series we posted…Continue Reading →
We are going to show a series of six charts today that illustrate some relationships that have evolved over the past five years, in particular the past 9 months. Some are probably causes, some are probably effects, but in total…Continue Reading →
For whatever reason the three markets where the Macro’s are Bullish, Stocks, Bonds, and the Dollar are all showing signs of wearing out. As we mentioned last week, we exited our long T-bond position, and we are seeing the dollar…Continue Reading →
June T-Bond futures are now the lead month. For a long time we have been looking for the long term charts to hit 166 on Bonds. Because of a supposed aberration in availability of Bonds the June contract has been…Continue Reading →
I only have a Masters in Economics, and it is a old one, so maybe the new Phd’s have learned something radically new. But if cheap money was the answer, why had the world not used this magical tool…Continue Reading →
You know where we are on this question. We believe that the deflation wave is the primary metric, and that basic materials like oil, copper, maybe even lumber are feeling the pressure first. You also know that for some time…Continue Reading →
The stock market has been consolidating since late November and is set up to make a move, which most anticipate is for another leg higher. Today’s employment report is supportive of that kind of move. So lets look at the…Continue Reading →
More of the same. Jobs report tomorrow, the market is not worried, it thinks it will be a good report, over 250,000 new jobs, but if it isn’t, Janet will step to the plate and reassure it. Today’s letter from…Continue Reading →
Yesterday we saw the oil relief rally that has been building for some time. Macro waves naturally see these type of actions from time to time. There were no changes to the portfolios.