Stocks Decline, Ending A Wild Week Friday was emblematic of the week’s action as there were a couple big swings. The market opened lower and continued falling until about noon. The S P 500 was down about 1.25% at the low of the day. From that low to 3:40 PM, the S P 500 increased about 1%.
Core Inflation Falls The only major economic report that was released on Friday was the July PPI-FD (producer price index final demand) reading. It showed there was a big decline in core inflation which missed estimates significantly. Firstly, headline PPI was 0.2% on a monthly basis which met estim
More Than Half The Losses Have Been Regained This recent correction was the 4th quickest to -5% since the start of the bull market. That turned sentiment on its head as everyone freaked out about the trade war and economic weakness. In 3 days of rallies over half of the scary correction losses have
Jobless Claims Say To Buy Stocks Jobless claims have had a high correlation with stocks for a long time. Even though states have made it harder to file for claims, they still have stayed correlated with the market. It’s possible that claims aren’t accurate in their portrayal of this being the tighte
Huge Stock Market Reversal Wednesday was a very wild day for markets as the S P 500 cratered 1.75% in the morning and then regained its losses and closed up 8 basis points. That makes it seem like Wednesday was a huge victory even though the market took a round trip. The Nasdaq outperformed partiall
Recession Odds Increase Latest flattening of the yield curve implies the recession odds are increasing. To be clear, even if this indicator shows there is a 100% chance of a recession, that doesn’t mean it will happen. This is one of many indicators I use. Ever since the start of the year, investors
Energy Weight - Stocks Rally After Worst Day Of 2019 Before getting into Energy Weight let's review the markets. Historically, we have seen President Trump pull back on hawkish trade rhetoric when the stock market falls. Fed has also helped stocks by shifting dovishly after big declines. Nothing of
Labor Market - Job Growth Continues To Slow The all-important July monthly Labor Market Report got swept under the rug. Mostly because of how much news has come out on earnings, monetary policy, and the trade war. Another reason the July report didn’t get as much coverage as usual is it came in near
Very Wild Monday Monday was the worst day of the year for stocks as the most interesting week for markets was followed by the most interesting day. Last week was the worst week of the year for stocks. I’m not saying these past few days have been interesting because of the declines. It’s because of
