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SPX At Another Crossroad

SPX At Another Crossroad

After the abrupt and significant correction from 2872 took place, I questioned whether it could end before the 40-wk cycle had made its low in May. That does not mean that we could not have a retest of the high before dropping back into the cycle low.  The market has been very volatile since the […]
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                        Have Gold Prices Bottomed?

E Have Gold Prices Bottomed?

Gold Futures Gold futures in the April contract settled last Friday in New York at 1,330 an ounce while currently trading at 1,326 down about $4 for the trading week, however, its currently trading up $18 as money flows are coming out of the equity market and into the precious metals as a flight to […]
3 Strategies For Managing Higher Volatility

3 Strategies For Managing Higher Volatility

“Everyone has the brain power to make money in stocks. Not everyone has the stomach,” once observed legendary fund manager Peter Lynch. His point was that most people don’t have the stomach – or emotional stamina – for sticking to an investment plan when market conditions get choppy. What makes 2018 remarkably different from the […]
Caterpillar Initiated With An Overweight At Morgan Stanley

Caterpillar Initiated With An Overweight At Morgan Stanley

Morgan Stanley analyst Courtney Yakavonis initiated coverage of the Construction Machinery space, starting Caterpillar (CAT) with an Overweight rating and $185 price target. Construction machinery stocks have outperformed since 2016, but a recovery in the global economy and key end markets leads Yakavonis to believe that there could be further to go, she tells investors. […]
Chief Powell Is Walking A Monetary Tightrope Blind

Chief Powell Is Walking A Monetary Tightrope Blind

Some commentators might even have felt some sympathy for Fed Chief Powell in his first testimony before Congress. He is so obviously navigating a treacherous monetary path ahead without any reliable compass. That is no different from the reality of his predecessor’s position, but at least in Mr. Powell’s case, there is not the academic […]
Realty Ponzi Schemes Rampant: Would-Be Investors Beware

Realty Ponzi Schemes Rampant: Would-Be Investors Beware

The past decade of escalating debt has led to falling due diligence and investment return prospects, and fueled rampant speculation in so many areas– especially real estate. Somehow the more expensive and opulent the projects appear, the more gullible and trusting the ‘investors’. Whether its condo developers and board members siphoning off funds for their own […]
Bull Of The Day: MasTec

Bull Of The Day: MasTec

I last wrote about MasTec (MTZ – Free Report) as the Bull of the Day on February 6 as earnings estimates and price targets were rising before their quarterly report this week. The $3.75 billion E&C services (engineering & construction) provider for telecom and energy companies delivered record fourth-quarter 2017 adjusted earnings per share of 47-cents, beating the Zacks Consensus Estimate […]
Was There A Stock Market Bubble? Did It Burst?

Was There A Stock Market Bubble? Did It Burst?

It took longer than usual, but the priced-for-perfection bull run has taken a body blow in recent weeks. That’s good news for investors with relatively long time horizons since lower prices equate with higher expected returns. Meantime, with the benefit of hindsight, let’s consider how a pair of econometric tools have fared for monitoring bubble […]
The Impact Of Tariffs And Trade Wars On The US Economy And The Dollar

The Impact Of Tariffs And Trade Wars On The US Economy And The Dollar

US President Donald Trump shocked global markets yesterday by announcing his intention to introduce a 25% tariff on imported steel and a 10% tariff on imported aluminum. The US Dollar was slammed across the board alongside US equity markets amid fears of trade wars emerging. It’s important for traders to understand the economic significance of […]
If You’re Long Risk Assets, You Do Not Want To Hear Kuroda Using The Word ‘Exit’

If You’re Long Risk Assets, You Do Not Want To Hear Kuroda Using The Word ‘Exit’

For two months now, the world has been eyeing the BoJ closely for signs they might be set to follow the Fed and the ECB down the road to policy normalization. To be sure, Japan is a long way from their inflation target, but as Albert Edwards wrote in January, the deflationary mindset seems to be […]