Tag Archives: Stock Market

The Dow(maggio) Jones Hitting Streak

Wednesday will mark the 83rd anniversary of the start of Joe DiMaggio’s 56-game hitting streak—a record that remains unchallenged in baseball. Similarly, the stock market has exhibited its own streakiness recently, with the Dow Jones Industrial Average closing in the … Continue reading

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S&P500 – Will the 20-week MA hold after six straight down days?

The S&P 500 closed precisely at its 20-week moving average following six consecutive days of declines. It is noteworthy that the index briefly dipped below its 20-week moving average during after-hours trading early on Friday, but rebounded as the Israeli-Iranian … Continue reading

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Can The Fed Cut Rates w/ Financial Conditions So Easy?

The Fed’s attempt to tighten monetary policy is being cannibalized by the private sector’s accelerated easing of financial conditions through market-based financial instruments.  The following chart is simply stunning.    Since the Fed began its monetary tightening campaign in March … Continue reading

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Welcome to 2021, Y’all!

By Carol K. Happy New Year, everyone!  I hope everyone had a happy and relaxing holiday season – or as happy as can be in the midst of a global pandemic.  I’ve been fighting a bout of pneumonia and was … Continue reading

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Misplaced Economic Priorities: Too Much Wall, Too Little Main

We are not taking a victory lap yet but we have been warning President Trump’s focus on the stock market was not only bad economics but also a losing political proposition.  Next Tuesday the option expires. But the juxtaposition of … Continue reading

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The United Socialist States of America (USSA)

You’d think the Fed governors would have the sense the political problem they are creating for themselves.  Pumping up the stock market — supporting corporate bonds will do that —  while Main Street suffers is a recipe for sweeping changes … Continue reading

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Chasing The FOMO Titanic Rally

FOMO – (Fear Of Missing Out) Panic buying is a type of behavior marked by a rapid increase in purchase volume, typically causing the price of a good or security to increase. From a macro perspective, panic buying reduces supply and creates … Continue reading

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Bad Look Of High Stock Prices & High Unemployment

In a few hours, the BLS will release the employment situation for April, which will illustrate the devastation the COVID crisis has inflicted on the U.S. labor market.  Since the crisis began 30 million plus American workers have filed for … Continue reading

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Too Short To Get Shorty

The stock market is clearly detached from economic reality and unmoored from any sensible valuation metric but it just keeps going higher. ¿Por qué. The market is going up because so many are caught offside betting it’s not going to … Continue reading

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The Fed Cut Fails To Inspire As Markets Deliver A Policy Margin Call

The price action in stocks continues its remarkable volatility. The cash S&P500 traded in a 160 point range just today, or 5.4 percent.   They sold the Fed 50 bps emergency cut hard to close the S&P at 3003.37, down 2.8 … Continue reading

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