TheoTrade’s Tale of the Tape: Inflation Trade Goes 3/3
Over the past few weeks, I’ve been adamant that the Fed is playing a dangerous game on the inflation front. Starting another round of money printing before long-term inflation targets have been achieved isn’t just reckless, but borderline negligent. So, I’m not surprised to see that an inflationary sector led the market again last week.…
What the Dollar’s Rebound Means for Your Portfolio
The world's reserve currency has staged a major rebound in recent weeks after declining since mid-April. During this time, stocks continued their bull market, while bonds rallied to multi-month highs. As the largest and most liquid market in the world, the currency market significantly influences all others - stocks, bonds, cryptocurrencies, and commodities. This raises…
Geopolitical Tensions Rise As Stocks Teeter Near Highs
A category 4-equivalent typhoon is barreling toward some of Taiwan’s most important semiconductor factories… Ground war is spreading in the Middle East… Some of the biggest, busiest ports in the United States are frozen by strikes… The cherry on top: Fed Chairman Jerome Powell sounded ever-so-slightly hawkish when he said the Fed was in no…
TheoTrade’s Tale of the Tape: Another Inflationary Match Lit
As the market settles into the Fed’s new round of monetary stimulus, I’ve been warning that a return of inflation cannot be ruled out in the near future. Last week, I noted how the energy sector (XLE) perked up and claimed the one-week leadership position in the sector performance rankings. But this week, there’s another…
Making Sense of China’s Reawakening
One of the biggest headlines in markets this week was what transpired with the Chinese equity market. We’ve seen stimulus after stimulus over the past couple of years on behalf of both the People’s Bank of China and the Chinese government, so what makes this round so special? The spoiler is that there isn’t anything…
The Bulls Are Pressing the Bears As Stocks Consolidate Near All-Time Highs
Stocks enjoyed a decent day as tech and semiconductors led the crowd to the upside. Gold hit new all-time highs and silver surged, which is just more confirmation that we’re on the right track to be bullish here. Interestingly, crypto benefited from a strong bid, too. Both metal and crypto miners continue to offer us…
TheoTrade’s Tale of the Tape: The Fed Is Playing With Inflationary Fire
The Fed finally went ahead and cut rates by 50 basis points last week, officially signaling that we’ve entered a new round of monetary easing. We knew this was coming, and that the market discounts future events. Remember that interest rates, at their core, are simply the cost of money. I’ve had some concerns with…
Stocks Hit New All-Time Highs Ahead of Rate Cuts
The Dow finally has company - the much broader S&P 500 has joined it at the all-time high party. If you sense something missing from this picture, you’re not wrong… I’m concerned that the NASDAQ hasn’t notched highs this month. Of course, that’s the home of tech in the market, and tech stocks typically react…
TheoTrade’s Tale of the Tape: Tech’s Rebound Gives Bulls a Breather
Markets closed out last week near the highs, courtesy of the tech sector. This is the exact type of leadership we need to see if this bull market is going to continue. To be clear, one-week leadership isn’t as significant as 30-day or even year-to-date leadership. So even with tech’s solid rebound and the plethora…
Market Musings from TheoTrade's Live Event
After a year of being with the TheoTrade team, I finally got the opportunity to meet Don and the rest of the team. It’s always great to put a name to a face, especially when you’re talking to people on a daily basis. Not to mention, I’ve had the chance to meet many TheoTrade members,…