Author Archive: Jeremy Parkinson
Housing Resales And The Reluctance To Sell
The National Association of Realtors (NAR) reported that sales of existing homes, or resales, declined sharply in December 2017. Falling 3.6% from November (revised lower), that merely suggests what other data has been pointing toward. The hurricanes that hit the South caused distortions in economic conditions, bunching up activity into especially October and November. The […]
Down The Drain
My broad disposition these days is (a) bearish bonds (b) bullish precious metals (c) WTF on equities. I will say, however, there are select equity sectors that I think are still able to (gasp) descend. One of them is real estate. The ETF below illustrates this nicely; it is the triple-bullish fund based on real estate, and as you can see, […]
Publicis, WPP Slide After Goldman Downgrades, P&G Ad Budget Cut
Shares of Publicis Group (PUBGY) and WPP (WPP) are trading lower again this morning, deepening their slide after Goldman Sachs analyst Lisa Yang downgraded the stocks to Neutral yesterday. Also yesterday Procter & Gamble (PG) said it is cutting the company’s advertising budget and reducing the number of agencies it uses by 50%. GOLDMAN MOVES […]
Understanding The CFNAI Components – Wednesday, January 24
The Chicago Fed’s National Activity Index, which we reported on yesterday morning, is based on 85 economic indicators drawn from four broad categories of data: Production and Income Employment, Unemployment, and Hours Personal Consumption and Housing Sales, Orders, and Inventories The complete list is available here in PDF format. In this morning’s Chicago Fed update, we learned that […]
Ray Dalio Predicts A Market Blowoff Rally
This week, the global elite are gathered in Davos for the annual World Economic Forum. Headlines are already being made from fears of protectionism/tariffs to support of a weak US Dollar. Bridgewater Associates founder Ray Dalio has been making the rounds on CNBC and Bloomberg and he’s making it clear that he believes that the tax cut could lead to […]
5 Best Value Picks Based On PEG Ratio
During the time of market volatility, investors often rely on value investing rather than other options like growth or momentum. As soon as other investors start selling their stocks at a cheaper rate, value investors take this as an opportunity to pick good stocks at a discounted price. However, this apparently simple value investment technique […]
Miners Reach Escape Velocity – Wednesday, Jan. 24
I’ve been yammering on quite a bit on my Tastytrade show about how the dollar’s weakness and the yen’s strength would finally give the gold bugs a much-needed rally. Well, it’s here, and GLD has cut above an important level of resistance, besides having already blown past its descending trendline. ……which, in turn, has caused […]
Ray Dalio Calls For Bond Market Crash, Warns Drivers Not To Rear-End Semi Trucks
Ray Dalio is traveling around, “principles” in tow, and naturally, he’s in Davos this week. On Tuesday, Dalio told CNBC that anyone holding cash was going to “feel pretty stupid” going forward, as everyone piles into the rally in order to ride the late cycle dynamic that Ray says will ultimately lead to a “blow-off” […]
Dollar’s Drop Has Big Impact On Stocks
When the dollar is falling, US companies that generate most or all of their revenues outside of the US end up benefiting. And ultimately that benefit works its way into share price performance. Recent price action proves it. As shown below, the US Dollar index is down 13.45% since its high from December 2016. Using […]
US Equities Tumble On Ross’ China “Direct Threat” Comments
Everything was looking so awesome this morning, until Commerce Secretary Wilbur Ross told a group in Davis that China’s 2025 Technology Plan was a “direct threat” to the US, sparking another round of protectionist-fear-driven selling in stocks. From Bloomberg: ROSS: CHINA `SUPERB’ TALKING FREE TRADE, ACTING PROTECTIONIST ROSS: STEEL FORUM HAS MADE `ZERO DIFFERENCE’ FOR OVERCAPACITY […]
