Market Talk – Thursday, November 16
Interesting that the Yen saw only minimal inbound traffic on Wednesday’s equity sell-off and today is still little changed with a stock rally! Admittedly, volumes are a shadow of what they used to be some years back, but just demonstrates how the game has changed. There is still plenty of money sitting on the side […]
4 Quality ETFs & Stocks For Market-Beating Returns
After surging to peak levels on Nov 7, the Wall Street is again entangled in a web of woes ranging from uncertainty in tax reform to a slide in oil prices. This is especially true given that the tax plan unveiled by the Senate differs from that of House Republicans on various fronts that have […]
Tesla’s Origin Story In One Giant Infographic
Priced at $17 per share just seven years ago, the Tesla IPO ended up being a total bargain for anyone lucky enough to get in. However, this view comes with the benefit of plenty of hindsight – and even Elon Musk would tell you that it wasn’t always obvious that the company would be around […]
Fund Managers Overweight Emerging Markets & Underweight U.S. Stocks
Fund Manager’s Survey We’ve looked at some of the results from the BAML fund manager’s survey in a previous article. Let’s look at some more results to help us forecast where asset prices are going. The chart below shows the z scores of a few assets. When the z score is high, it is overbought […]
Tesla Investors May Be Losing Patience
Tesla CEO Elon Musk has a history of over-promising and under-delivering. Following the most recent quarterly earnings, investor patience may finally be wearing thin. I have covered advanced biofuel companies for more than a decade, and just about all of them made implausible claims about their technologies. They consistently overpromised and underdelivered, until they finally ran […]
Industrial Production Jumps: Another Hurricane Effect?
Industrial production rose 0.9% in October after a revised 0.4% in September. In reference to the discrepancy between industrial production and the regional Fed manufacturing reports, Econoday says “The last piece has fallen into place.” What’s the real story? When I went to bed early this morning the futures were jumping. I figured the report […]
US Equity Markets – Short Term Vs Long Term Charts Telling A Different Story
(Audio length 00:11:11) Doc is with me to discuss the moves in the US equity markets. The Dow is up almost 200 points on the back of some better than expected earnings and news that the House is going to vote on tax reform. Again more momentum chasing and optimism around tax reform is driving […]
October 2017 Headline Industrial Production Significantly Improved
The headlines say seasonally adjusted Industrial Production (IP) was up. The manufacturing segment of industrial production also improved. Analyst Opinion of Industrial Production There was significant upward revision to the existing data over the last 6 months – so even though the data was better than last month, it is even better when compared to […]
The Flames Went Higher
A few weeks ago I wrote “stock market breadth is much worse than this popular measure indicated” referring to the advance/decline line and how its strength masked technical erosion going on under the surface of the indexes. Since then breadth hasn’t improved. In fact, it’s gotten worse. The “Hindenburg Omen” was developed by Jim Miekka […]
US Wages: The Short-Term Mystery Resolved
The Great Recession ended more than eight years ago, in June 2009. The US unemployment rate declined slowly after that, but it has now been below 5.0% every month for more than two years, since September 2015. Thus, an ongoing mystery for the US economy is: Why haven’t wages started to rise more quickly as the […]
