This Trump Rally Is Hiding a Red Flag
So we got a nice bump for the week, for the most part, as the market gets more and more comfortable with the new administration. I can’t say it’s all good, though. I’d be doing you a disservice if I didn’t point out that there are a few reasons not to get too comfortable here.…
These Are the Market’s Best Income Plays Right Now
Plenty of traders and investors, particularly new ones, tend to want to avoid the bond market, with its emphasis on debt, not equity, and its sensitivity to interest rates. That’s understandable, but bonds are easier - and, with the income they bring - more lucrative than you might think. What’s more, you don’t even need…
Tech Sector to Masayoshi Son: “Domo Arigato!”
In a bullish opening salvo, the new Trump administration announced the opening of the Stargate project. Now, this isn't the Stargate that exported people from earth to an extragalactic planet, but rather a portal opening the way to artificial intelligence infrastructure investment in the United States. In this unveiling, Japan’s SoftBank announced a $100 billion…
How Markets Did on the First Day of Trump II
We’ve been through the “Trump rally,” the “Trump slump,” the “Trump bump,” and now… just Trump, as the first full trading day of the new administration comes to a close. Space stocks, which are in the Million-Dollar Challenge portfolio, did well, with big moves underway. Broadly speaking, many stocks responded well, with the big index…
Don’t Bet on the “Trump Rally 2.0” - Bonds and Greenbacks Say No
We got strong rallies in the S&P 500 and NASDAQ today; a little less power on the Dow and Russell 2000, but they came along for the ride. Seeing as this is the last trading day of the Biden administration, I’m seeing some talking heads out there calling this the “Trump Rally 2.0.” Thing is……
Here’s How to Play the “Big Bounce”
Some weeks, you see it all… and this is one of those weeks. What had been a tape on life support roared back - violently - the second traders perceived inflation was cooling off. (Whether that perception is accurate… well, that’s a different story.) Bonds have staged a recovery, as well, which means savvy folks…
This Rally Is the Hallmark of a Volatile Market
We got a rally today. Not the rally, but a rally. The S&P was up nearly 2% when I recorded this, and the NASDAQ was rockin’ more than 2.5% to the upside. We can chalk this up to CPI this morning; traders read the tea leaves and decided inflation had cooled off and it was…
Stocks Are Trying to Carve Out a Bottom - Here’s What I Think
The markets’ mood has soured - that much is obvious. There are worries about inflation - also obvious if you look at the bond market. That makes tomorrow morning’s CPI data release critical. It could make or break the action in the bond market but in stocks as well. Crude oil is at a critical…
The Market Is Waking to a Crude Inflationary Reality
Our hearts go out to the people impacted by the wildfires in Los Angeles. The human cost has already been staggering, with at least 24 dead and as many as 100,000 forced to flee their homes. We don’t yet know the final financial toll, but as traders, we can already see signs in the…
The “Bond Conundrum” Is Driving Markets to the Edge
All of the big indexes got rocked to the downside today. On the surface, the market had a “good news is bad news” freakout about strong December jobs gains. We’ve seen this behavior before. Last week, in fact, I invited traders to “enjoy the bounceback… and get ready for another smack.” And that’s what we’re…