Is the Market Broken?
The stock market is reaching extreme levels in terms of the lack of volatility and high valuations. However, given the market’s ability to shake off bad news last year, it’s not surprising to see it rallying in the past few weeks. Earnings are finally growing again, the Fed is promising to remain dovish, and Trump…
Markets Moving Opposite Your Expectation?
The Dow, S&P, and Nasdaq all made new highs today on news on President Trump's announcement of major tax plan in a few weeks. If the markets are moving in the opposite direction of your expectation here's what to look forward going forward...
Border Adjusted Tax
It’s trouble in paradise for the GOP led Congress. Their reward for winning the contentious election last year is to deal with the problems with the U.S. tax code. Considering the convoluted nature of the system, it sounds more like a penalty, to me. On the campaign trail, it’s easy for politicians to claim they…
Market Sentiment Is Way Too Optimistic
There’s an interesting dichotomy which is brewing in the market which is a recipe for lower stock prices. I will review this bearish signal in this article. The dichotomy is that investors are incredibly bullish while bank lending has started to seize up. Sentiment indicators can signal short term trend corrections if they get too…
Bonds on the Verge of a Breakout, Lookout Financials!
Another new high in the Nasdaq 100 while the rest of the major indexes trail behind. The only financial instrument moving significantly this week has been Bonds. Bonds closed at a 3 week high and interest rates plummeted. In tonight's video we will look at what this means for the markets specifically the financials that…
French and German Elections
While 2016 was a massive year for elections, with the American and U.K. populist movements headlining the votes, 2017 will also be a pivotal year. There will be a government transition in China in the fall. There will also be French and German elections which will likely bring equity volatility due to the uncertainty about…
Low Returns Almost Guaranteed in the Future
Anecdotal evidence that the market is in bubble has hit me. I’m sure most people involved in finance have heard questions about the stock market from those not in the industry. It has become an exciting time to invest, so the number of questions I’ve received has increased recently. The reality is the stock market…
Be Proactive and Edge Is Still There
Another mixed day in the market with the Dow and Nasdaq 100 making new all time highs. The S&P and Russell still drifting sideways. Volatility remains near record lows. In tonight's video let's look at where you can still find an edge...
Q1 Earnings Looking Bright Due To Energy
In this article, I will look at the latest earnings metrics from FactSet, some of the latest figures in the auto loan market, and the lack of volatility in the market compared to the policy uncertainty. First, I want to discuss updated pricing of interest rates shown on the CME Group website. Since the day…
Is The Market More Expensive Than Ever Before?
Don’t mistake my positive explanation of the BLS, ADP, and ISM reports to indicate that I’m bullish on stocks for the long-term. Unlike the typical commentator who claims he/she is expecting a correction in the short term, but is bullish for the long term, I claim that I don’t know where the market is headed…