Category Archive: Finance
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 […]
Pound Rally Continues
The Pound Sterling struck a new post-Brexit peak against the US Dollar, extending the recent rally for the Pound. Since the June 2016 Brexit vote, the Pound had experienced a significant decline versus the greenback, but it earlier hit a peak of $1.4119, while against the Euro it struck a 5-week peak. Analysts say that […]
What’s Wrong With Macro? A Symposium From The Oxford Review Of Economic Policy
Macroeconomists were notorious for their disagreements before 2007. Such wrangling only increased with the carnage of the Great Financial Crisis and its aftermath. The Oxford Review of Economic Policy has now devoted a special double issue (Spring-Summer 2018) to a symposium on the topic of “Rebuilding macroeconomic theory.” Lots of big names (to economists!) are featured, and […]
Can Netflix Continue To Deliver Such Stellar Results?
Netflix (Nasdaq: NFLX) is on a roll. Earlier this week, it reported its fourth quarter results that shattered all market expectations. If there was ever a doubt about slowing subscriber growth, Netflix has put all of those to rest in these results. Netflix’s Financials Netflix’s Q4 revenues grew 40% over the year to $3.29 billion, […]
