Stocks Sell-Off As Irma Looms
The stock market had a minor move lower on Tuesday in the first day back from the Labor Day weekend. This is the start of the weakest month of the year. For some reason, the North Korean threat is now being considered an issue again even though the market ignored the missile launch by trading […]
Stanley Fischer Is Out At The Fed
Fed Vice Chair and Yellen ally Stanely Fischer announced his unexpected resignation today, citing “personal reasons.” His term as a Fed governor wasn’t to be over until 2020 and his vice chairmanship was to end June of next year. Fischer was one of the three most important Fed members, the other two being Yellen herself […]
Market Talk – Wednesday, September 6
A lot of the talk in Asia was surrounding concerns over the continued and unsurprising decline in the KOPSI. Today it fell again (-0.3%) with industrials and core exporters leading the decline making this the fifth day sellers have taken the lead role. The Nikkei lost for another day, but this time only a small […]
Beige Book Synopsis In Two Words: Modest, Moderate (In One Word – Useless)
The Fed’s Beige Book is a summation of useless anecdotal information compiled by Fed governors from each of the Fed’s 12 regions, eight times a year. The report is 36 pages long so inquiring minds may be seeking a short version. Rates of Expansion Moderate Expansion: San Francisco, Cleveland, New York Moderately Expanding: Dallas Modest Expansion: […]
Stocks Pop, Gold Drops After ‘Calmed’ Korea, Debt-Ceiling Delay, & Dismal Data
Disappointing Data this morning was trump’d by some de-escalation with North Korea and a short-term debt-ceiling can-kicking – stocks rallied, bonds & bullion leaked lower, and the dollar was unable to get back into the green… Video length: 00:00:03 The biggest headlines of the day came out of DC (as usual) with Trump seeming to de-escalate […]
Energy Is Rallying A Bit
Not much happening in the market today. The Leader List The leaders are listed below in blue and green. The S&P500 is the benchmark. Energy is rallying a bit. Outlook The long-term outlook is positive, but the caution flag has been raised.The medium-term trend is down.The short-term trend is up.
The Q Ratio And Market Valuation: August Update
The Q Ratio is a popular method of estimating the fair value of the stock market developed by Nobel Laureate James Tobin. It’s a fairly simple concept, but laborious to calculate. The Q Ratio is the total price of the market divided by the replacement cost of all its companies. Fortunately, the government does the […]
USD/CAD – 1.20 Or 1.25?
The Bank of Canada caught everyone by surprise when they raised interest rates to 1% today. We knew there was a small chance of a hike but we didn’t really expect it to happen so quickly after the last one especially at a meeting with no press conference. But perhaps that was exactly what […]
HH Canada Hikes Again – What Does It Mean For The “CANZ Economies”?
The Bank of Canada hiked interest rates another 25bps to 1.00% today, surprising most. As noted last time (following the July interest rate hike) Canada’s housing market is running hot, and has all the hallmarks of a property price bubble. We’ve looked at the Canadian property market valuations a number of times and there is a clear case […]
Breadth: It’s All About Perspective
The recent sideways churning of the market that we highlighted in an earlier post has also made its presence felt in the short term breadth of S&P 500 Industry Groups. To highlight this, the top two charts below show the percentage of S&P 500 Industry Groups with rising 50-day moving averages (DMA) and the percentage trading above […]
