Author Archive: Jeremy Parkinson
As Yuan Turns More Volatile Than Euro, Turnover Soars
Guess what? Folks are trading the yuan. Over the last three months, markets have been at pains to discern what the controlling factor is for the Chinese currency’s rapid depreciation. To be sure, everyone can make a list of the contributing factors, it’s just a matter of deciding which one takes precedence. The narrative here is simple. […]
Argentine Currency Collapses Most Since 2015 As Investors Finally Lose Faith
Mauricio Macri’s presidency was meant to lead Argentina out of a dismal period of debt defaults, currency controls, and recession. But, as Bloomberg reports, markets show investors are losing faith in the new dawn for South America’s second-largest economy. Despite all the constant propaganda spewing forth from officials in Argentina (and at The IMF), we leave it to […]
Pre-Tax Corporate Profits Rise 0.2%, After-Tax Corporate Profits Rise 6.7%
The Trump Tax cuts strongly came into play in today’s GDP update which includes corporate profits. The BEA’s Second GDP Estimate for the second quarter shows a slight upward revision in GDP from 4.1% to 4.2%, seasonally-adjusted annualized. In the second estimate, the BEA also releases its first (preliminary) take on corporate profits for the the quarter. […]
Stocks Overbought – Increase Slightly
Stocks overbought – the S&P 500 was up 3 basis points after giving back some of its early gains on Tuesday. The other indexes were also slightly positive. As you can see from the chart below, the S&P 500’s 14 day relative strength index is at 69.49 which puts it just 51 basis points away […]
July 2018 Pending Home Sales Seasonally Adjusted Index Remains In Contraction Year-Over-Year
The National Association of Realtors (NAR) seasonally adjusted pending home sales index remains in contraction year-over-year. Our analysis shows continued worsening of growth. The quote of the day from this NAR release: … It’s evident in recent months that many of the most overheated real estate markets – especially those out West – are starting […]
L Brands Suffers Credit Profile Damage Despite Upbeat Consumer Confidence
By Steven Levine Although rosy economic conditions have generally spurred a rise in consumer spending, organizational changes and structural shifts at L Brands (LB) have helped keep the company from fully enjoying the benefits. The Columbus, Ohio-based company, which operates brands that include Victoria’s Secret, PINK, and Bath & Body Works, recently provided disappointing third-quarter guidance […]
Consumer Confidence The Highest Since October 2000
Consumer Confidence – Expectations Improve The consumer surveys are quite volatile and divergent. The University of Michigan survey had its current conditions index fall 5.8% month over month. The latest Conference Board survey, which was released on Tuesday, was the best report since October 2000. Supporting the Conference Board survey are the retail sales reports […]
Can Anything Get In The Way Of The US Markets?
(Audio length 00:10:05) Chris Temple joins me today to focus on the USD pullback and rising US markets. First, the pullback in the USD has been taken as a top but we are not thinking this will continue. As for the US markets, it seems like nothing can get in its way. We also discuss […]
Foreign Buyers Slump, Bid To Cover Jumps In Solid 7-Year Auction
Concluding the week’s issuance of $104 billion in coupon paper, moments ago the US Treasury auctioned off $31 billion in 7 Year notes, which priced at a high yield of 2.844%, stopping through the 2.85% When Issued by 0.6bps, and below last month’s 2.93% yield, but above the 6-month average yield of 2.863%. Internals were […]
The Growth Of The World’s Middle Class May Be The Greatest Story Of Our Age
A woman who woke up from a thirty-year coma in 2018 would be forgiven if she looked around and came to believe our world is falling apart. Cable news and social media are a steady drumbeat of negativity. There is a sense the world is not right. Russian collusion. Xenophobia. Antifa. Unite the Right. Stormy […]
