Is It Just A Coincidence That The Dow Has Hit 20,000 At The Same Time The National Debt Is Reaching $20 Trillion?
The Dow Jones Industrial Average provides us with some pretty strong evidence that our “stock market boom” has been fueled by debt. On Wednesday, the Dow crossed the 20,000 mark for the first time ever, and this comes at a time when the U.S. national debt is right on the verge of hitting 20 trillion dollars. […]
China Enjoys Robust Growth
In all the palaver about “alternative facts”, President Trump’s economic direction and the fiasco that is Brexit, it is easy to overlook other economic news. However, it is possible that “alternative facts” is not a unique US product. The Chinese economy caused a big wobble to the global economy last year with concerns that its […]
UK GDP Beats Brexit Again With 0.6% – GBP/USD Sells The Fact
The UK economy is defying the EU Referendum for the second time in a row, growing by 0.6% q/q and 2.2% y/y in Q4 2016. Both figures are 0.1% above early estimations. This kind of expansion is not steaming hot or inspiring but it is certainly solid and healthy. And, when taking the projected “Brexit cliff” into […]
Trump Policy Guessing Game Continues, Pound To Look Past UK GDP
The British Pound outperformed in overnight trade, seemingly not bothered by an approaching UK GDP report that is expected to show growth slowed in the fourth quarter. The figures are expected to reveal output grew at an on-year rate of 2.1 percent, a downtick from the 2.2 percent expansion scored in the three months to September 2016. Sterling’s resilience […]
Materials ETF Quietly Assumes Sector Leadership
The Materials ETF has avoided the financial headlines and quietly assumed the market’s sector leadership. It has more than doubled the performance of the S&P 500 over the past year, suggesting some sustainability of the move. Latin America returns to the top of the global rankings after a 10-week absence. Sectors: Materials climbed two places higher […]
T2108 Update – A Bullish S&P 500 Breakout Meets A Bearish VIX Breakdown
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are occasionally posted on […]
The Global Economy’s Best Leading Indicator Forecasts A Downturn
If you want to know what is happening to the global economy, the chemical industry will provide the answers. It has an excellent correlation with IMF data, and also benefits from the fact it has no “political bias”. It simply tells us what is happening in real-time in the world’s 3rd largest industry. The chart above […]
Chief Trump advisor set for $100m windfall
Wall Street stalwart Goldman Sachs is set to pay an $100m exit package to Gary Cohn, its former President and COO. In December, Cohn announced he would be leaving his position at the bank in order to take over as President Trump’s chief economic advisor. Over the course of Cohn’s 25-year career at Goldman, the […]
Trump backs out of Trans Pacific Partnership
On January 23, newly appointed US President Donald Trump signed an executive order to scrap the Trans Pacific Partnership (TPP), bringing an end to the US’ long held commitment to free trade. By terminating the pact, Trump is making good on his ‘America First’ campaign, through which he vowed to block multilateral trade agreements in […]
