Top Fed Officials Pushing for Interest Rate Hikes

Top Fed Officials Pushing for Interest Rate Hikes

Top Fed Officials Pushing for Interest Rate Hikes $DIA, $SPY, $QQQ, $VXX As central bankers converge on Jackson Hole Thursday for an annual conference on monetary policy, a couple of top US Fed officials took the chance to renew a push for interest-rate hikes, citing improvement in employment and inflation. “The case is strengthening” for […]

Key Economic Data Does Not Reflect Pending ‘Disaster’

Key Economic Data Does Not Reflect Pending ‘Disaster’

Key Economic Data Does Not Reflect Pending ‘Disaster’ $DIA, $SPY, $QQQ, $VXX July New Home Sales and August Philadelphia Fed NonManufacturing Survey Home Sales: +12.4%/ Philly Fed: -4 points; Orders: -14.9 points The Big Q: With housing and hiring looking really good, where is the economic disaster we keep hearing about? The notion that the […]

US Consumer Prices Unchanged, Inflation Slows

US Consumer Prices Unchanged, Inflation Slows

US Consumer Prices Unchanged, Inflation Slows $DIA, $SPY, $QQQ, $VXX US consumer prices were unchanged in July as the cost of gasoline fell for the 1st time in 5 months and underlying inflation slowed, which could further diminish prospects of a US Fed interest rate increase this year. The Labor Department said Tuesday that the […]

Key World Stock Markets Briefing

Key World Stock Markets Briefing

Key World Stock Markets Briefing $DIA, $DAX, $GLD, $SLV, $USO, $OIL Commentary: Stagnant retail sales data in US has reduced the expectations of a rate hike by the US Fed this year, keeping the risk appetite high. DJIA at 18636.05, +0.32% has managed in the last 3 wks  just +0.3%. If a run to to 18900-19000 […]

Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street $DIA, $SPY, $QQQ, $VXX Earnings are for the most part over. The Key economic reports this week are regional manufacturing reports, New York, Philadelphia, CPI, Industrial production/Capacity utilization, and the FOMC minutes. The economics data is always important. But, this 7 year old Bull Market has been given support since […]

The US Consumer Pauses, Spending Halts, Economy Stalls

The US Consumer Pauses, Spending Halts, Economy Stalls

The US Consumer Pauses, Spending Halts, Economy Stalls $DIA, $SPY, $QQQ, $VXX “The consumer paused in July and with price pressures soft, the Fed members will probably gain a few more grey hairs.” — Joel Naroff, Economist The Consumer Data: July Retail Sales and Wholesale Prices Sales: 0%; Excluding Vehicles: -0.3%/ PPI: -0.4% Excluding Food […]

Experts See Gold Rally Extending

Experts See Gold Rally Extending

Experts See Gold Rally Extending $GLD, $SLV Gold has rallied strongly YTD with recent world events pushing it higher as anxious investors seek its safety and preservation of wealth and buying power. From Britain’s sudden exit from the EU, to the most contentious Presidential election seasons in US history, to ISIS terrorist attacks, the only […]

Gold Getting Boost from Japan Spend/Lend Stimulus

Gold Getting Boost from Japan Spend/Lend Stimulus

Gold Getting Boost from Japan Spend/Lend Stimulus $GLD, $SLV, $ABX, $KGC “Gold is getting another boost, this time from Japan PM Shinzo Abe” Gold prices are headed for the longest rally in more than 6 weeks after Japan’s cabinet Tuesday approved a spending/lending stimulus package, including JPY4.6-T in outlays this year. The USD also weakened, […]

The Week Ahead on Wall Street

The Week Ahead on Wall Street

The Week Ahead on Wall Street $PFE, $PG Earnings season continues with 119 S&P 500 companies reporting. Included in this group are DJIA components Pfizer Inc. (NYSE:PFE) and Proctor & Gamble Co. (NYSE:PG), which will both report Tuesday. Economic Reports The week’s 1st economic reports to Wall Street will be the July purchasing manager’s manufacturing index (PMI), the […]

American’s are Almost as Wealthy as Ever, it is Scary

American’s are Almost as Wealthy as Ever, it is Scary

American’s are Almost as Wealthy as Ever, it is Scary Americans are about as wealthy as they have ever been and that is worrying monetary officials.  They are concerned that the growing wealth could prove unsustainable because it has outstripped the growth of the economy since the Great Recession’s storied end in Y 2009. A […]

Raise Rates, Don’t Raise Rates, Who’s Right?

Raise Rates, Don’t Raise Rates, Who’s Right?

Raise Rates, Don’t Raise Rates, Who’s Right? $DIA, $SPY, $QQQ, $VXX There are those economists that argue that the US Fed should take an unconventional approach to ending a long period of below-target inflation: that being that instead of keeping interest rates low to drive economic activity and push up prices, it should raise interest […]

No Growth in Global Economy, Cash is King, Gold Shines

No Growth in Global Economy, Cash is King, Gold Shines

No Growth in Global Economy, Cash is King, Gold Shines $GLD, $SLV Looking at the global economy today we see several worrying developments. Currency devaluations and negative interest rate policies, + slow-to-no economic growth in both developed and developing economies. Experienced investors are trying to make “heads or tails” of today’s financial markets. The Big […]

Caution, Investors are Chasing Stocks, more Tactical than Fundamental

Caution, Investors are Chasing Stocks, more Tactical than Fundamental

Caution, Investors are Chasing Stocks, more Tactical than Fundamental $DIA, $SPY, $QQQ, $VXX Investors are no longer running from the stock market they are chasing it for reasons that are more tactical than fundamental: Caution. It is too early to tell where the UK’s new position in the overall context of the EU will be […]

Global Stock Markets “Bouncing” Off Of Hefty Losses

Global Stock Markets “Bouncing” Off Of Hefty Losses

Global Stock Markets “Bouncing” Off Of Hefty Losses $DIA, $SPY, $QQQ, $VXX, $GLD, $SLV Wednesday, Global stock markets continued to recover after last week’s losses and the USD was down 0.5% Vs a basket of peer currencies. Gold rose Wednesday on the USD’s retreat and investor appetite for safe assets remained strong because of longer-term […]

The Week Ahead on Wall Street

The Week Ahead on Wall Street

The Week Ahead on Wall Street $NKE, $GIS, $CAG, $MU Earnings results from Q-2’s early reporters will be released to Wall Street this week with 10 members of the S&P 500 on tap. They are NIKE (NYSE:NKE)Tuesday, Acuity Brands (NYSE AYI), General Mills (NYSE:GIS) and Monsanto (NYSE:MON) Wednesday; and ConAgra Foods (NYSE:CAG), Constellation Brands (NYSE:STZ), Darden […]

The Fed Policy Makers are Fighting for Their Lives

The Fed Policy Makers are Fighting for Their Lives

The Fed Policy Makers are Fighting for Their Lives Something interesting happened the Friday (Quad Witching) before Brexit; trading volume exploded on a decline in the Dow Jones.  In the BEV chart below I inserted the daily trading volume (mils) for the Dow Jones instead of the usual BEV values to highlight what happened. It […]

Friday Is Russell Index Adjustment + Brexit Announcement Day

Friday Is Russell Index Adjustment + Brexit Announcement Day

Friday Is Russell Index Adjustment + Brexit Announcement Day $DIA, $SPY, $QQQ, $VXX Friday could be Wild on Wall Street as traders react to the vote on British membership in the EU and adjust their portfolios to the annual reconstitution of  Russell stock indexes. The annual FTSE Russell index adjustment, in which stocks are added […]

IMF Downgrades US Economic Forecast

IMF Downgrades US Economic Forecast

IMF Downgrades US Economic Forecast The International Monetary Fund  (IMF) downgraded its forecast for the US economy this year and said America should raise the minimum wage to help the poor, offer paid maternity leave to encourage more women to work and overhaul the corporate tax system to boost productivity. In its annual checkup of […]

Fed’s Economic Downgrade Helps Donald Trump, Hurts Hillary Clinton

Fed’s Economic Downgrade Helps Donald Trump, Hurts Hillary Clinton

Fed’s Economic Downgrade Helps Donald Trump, Hurts Hillary Clinton The FOMC did not (could not) raise interest rates, but it signaled a new turn for the US economy, South. Wednesday, the US Fed downgraded its economic outlook for the rest of this year, which will impact the Presidential election if the forecast is right. In […]

America Needs a Radical Change to Address its Anemic Economy

America Needs a Radical Change to Address its Anemic Economy

America Needs a Radical Change to Address its Anemic Economy $DIA, $SPY, $QQQ, $VXX Billionaire investor Wilbur Ross says Donald Trump represents the “more radical, new approach to government” that the country’s  economy desperately needs. While others in America and abroad have faulted Donald Trump’s lack of PC (political correctness), Mr. Ross says such “in […]

Wednesday’s Technical Outlook for DJIA (.DJI)

Wednesday’s Technical Outlook for DJIA (.DJI)

Wednesday’s Technical Outlook for DJIA (.DJI) $DIA, $DJI Wall Street fell for a 4rd day running, as investors continue to run from equities and rushed into safe havens asset due to a negative mood triggered by increasing Brexit fears persisted all through this Tuesday. Wall Street edged lower, although US indexes trimmed half of their daily […]

Tuesday’s Technical Outlook for DJIA (.DJI)

Tuesday’s Technical Outlook for DJIA (.DJI)

Tuesday’s Technical Outlook for DJIA (.DJI) $DIA, $DJI Wall Street fell for a 3rd day running, as investors continue to run from equities and rushed into safe havens assets. DJIA -132.86 at 17732.48, NAS Comp -46.11 at 4848.44, S&P 500 -17.01 at 2079.06 US stocks bowed to the risk averse environment generated by renewed fears about Brexit, falling […]

World’s Central Bankers are Fighting “the Tape”

World’s Central Bankers are Fighting “the Tape”

World’s Central Bankers are Fighting “the Tape” The world’s central bankers are fighting “the tape” by pumping massive amounts of liquidity into the global economic system in an effort to avert deflation. Notably, deflation is a natural force of nature during Peace Time, when globalization leads to free trade and heightens competition. During War Time, […]

Gold and WTI Crude Oil Technical’s (Weekly)

Gold and WTI Crude Oil Technical’s (Weekly)

Gold and WTI Crude Oil Technical’s (Weekly) $GLD, $USO Spot Gold finished sharply higher for a 2nd week running, closing at 1,274.40 oz, as risk aversion helped the precious Yellow metal to resume its Bullish trend from earlier this year. Risk aversion, prompted by China and the UK, underpinned the commodity, alongside with the Uturn […]

The Week Ahead on Wall Street

The Week Ahead on Wall Street

The Week Ahead on Wall Street $KR, $ORCL Just 2 members of the S&P 500 are scheduled to report earnings to Wall Street this week: The Kroger Co. (NYSE:KR), and Oracle Corp. (NASDAQ:ORCL). Both announce their results Thursday. US Fed’s FOMC Meeting The US Fed’s Open Market Committee (FOMC) will hold a 2-day meeting, beginning […]

“Risk Off” as Investors Fear Global Growth Slowing

“Risk Off” as Investors Fear Global Growth Slowing

“Risk Off” as Investors Fear Global Growth Slowing $DIA, $SPY, $QQQ, $VXX Investors are selling off risky assets from their portfolios because of falling global GDP expectations, driven by China’s slowing growth, and the hotting up US Presidential race. Friday, global growth worries and a sharp decline in Crude Oil prices sent fear through Wall […]

Janet Yellen’s Remarks Anything But “Dovish”

Janet Yellen’s Remarks Anything But “Dovish”

Janet Yellen’s Remarks Anything But “Dovish” Monday, US Federal Reserve Chairwoman Janet Yellen said  that interest rate hikes are likely on the way because “positive economic forces outweigh the negative” for the United States now that risks from earlier this year have diminished. In Monday’s public comment from any US central banker before a Key […]

US Jobs Situation Report Damaging, Virtually No Jobs Created in May

US Jobs Situation Report Damaging, Virtually No Jobs Created in May

US Jobs Situation Report Damaging, Virtually No Jobs Created in May $DIA, $SPY, $QQQ, $VXX Donald Trump said the surprisingly weak US jobs situation data for May released on Friday was “terrible”, a “bombshell.” “Terrible jobs report just reported. Only 38,000 jobs added. Bombshell!” Trump said in a post on Twitter shortly after the US […]

China Implements Fx Trading Reforms

China Implements Fx Trading Reforms

China Implements Fx Trading Reforms $USDCNY The RMB Yuan is facing renewed devaluation pressure over expectations of a US Fed rate hike, but a large RMB Yuan devaluation is unlikely as China continues its market-oriented Fx (foreign exchange) reform. The central parity rate, or the fixing rate of the Chinese currency, had been weakening since […]

Managed Money Cautious, Capital Preservation Key

Managed Money Cautious, Capital Preservation Key

Managed Money Cautious, Capital Preservation Key $DIA, $SPY, $QQQ, $VXX The “new normal” led to the “new neutral” led to ‘insecure stability”. The world has entering a phase of rising risks as the effect of central-bank stimulus policies diminishes. “You can think of it as insecure stability,” Richard Clarida, Pimco’s global strategic adviser, said in […]

The Week Ahead on Wall Street

The Week Ahead on Wall Street

The Week Ahead on Wall Street $MDT, $KORS, $AVGO The US financial markets were closed Monday for Memorial Day. This week only 3 members of the S&P 500 will report Q-1 earnings to Wall Street as this season is winding down, they are: Medtronic (NYSE:MDT) Tuesday, Michael Kors Holdings (NYSE:KORS) Wednesday and Broadcom (NASDAQ:AVGO) on Thursday. Economic Reports […]

A Stock Market History Lesson

A Stock Market History Lesson

A Stock Market History Lesson $DIA, $SPY, $QQQ Going back to Y 1929, the S&P 500, excluding dividends, has been unchanged on the year just 5 times; Y’s 1947, 1948, 1970, 2011, and 2015.  Meaning, the success rate of hold a Neutral stance on the market in the 86 years between Y’s 1929 and 2015 […]

Summer Investment Strategy, Play Defense

Summer Investment Strategy, Play Defense

Summer Investment Strategy, Play Defense $DIA, $SPY, $QQQ, $VXX As we enter this Summer trading season the big Wall Street traders head to The Hampton’s to vacation their trading positions laid out and staked. This year we are dealing with sluggish trading season, and an all but stalled global economy too. Notably, Eurozone business growth […]

Ominous Business Indicator, Machinery Orders Soft

Ominous Business Indicator, Machinery Orders Soft

Ominous Business Indicator, Machinery Orders Soft $DIA, $SPY, $QQQ, $VXX US business spending intentions weakened in April for a 3rd month running on soft demand for machinery, but a surge in contracts to purchase previously owned homes to a 10-year high supported views economic growth was gaining speed. The growth picture was further boosted by […]

Monday’s Technical Outlook for DJIA (.DJI)

Monday’s Technical Outlook for DJIA (.DJI)

Monday’s Technical Outlook for DJIA (.DJI) $DIA, $.DJI Wall Street bounced Friday, with the DJIA adding 65 points or 0.38% to end at 17,500.94, down for a 4th week running. The benchmark index got hit by FOMC’s Hawkish Mins, but as most worldwide indexes, shrugged concerns over upcoming events and rose on the back of […]

The Week Ahead on Wall Street

The Week Ahead on Wall Street

The Week Ahead on Wall Street $AZO, $HPE, $INTU, $COST, $HPQ, $DG Only 16 members of the S&P 500 will report earnings this week as Q-1 earnings season winds down. Included in this group are: AutoZone (NYSE:AZO), Hewlett Packard Enterprise (NYSE:HPE) and Intuit (NASDAQ:INTU) Tuesday, Costco Wholesale (NASDAQ:COST) and HP (NYSE:HPQ) Wednesday, and Dollar General […]