As we ponder this weekend the market implications of all things political, I thought I'd offer up the analogy we've been using during client review meetings.
With few exceptions, and at times with virtual incredulousness, clients are asking about (commenting on) the record heights the stock market continues to mount. Here, metaphorically, is how we explain it:
Thursday, January 18, 2018
This Week's Message: Still Not a U.S.-Only Phenomenon, Options Traders Are Betting On Volatility, Macro Trends Remain Bullish, and Some Important Stuff Going Forward
As good as it feels to credit one's favored factor(s), development(s), person(s) or political party, the truth is that the market dynamic you and I are presently experiencing is a global affair.
Tuesday, January 16, 2018
Jack Schwager, in his instructive and comprehensive A Complete Guide to the Futures Market makes the point that we've been stressing of late in client review meetings: That while our fundamental analysis says the overall setup remains bullish for equity markets, it's only useful in terms of assessing the prospects for the intermediate and longer-term horizons. We should always expect frequent counter-trend moves and corrections even under the best of conditions.
Friday, January 12, 2018
Thursday, January 11, 2018
We've been hinting herein that our view on inflation is that we're on the cusp. Not, mind you, remotely in the style of the late-70's/early-80s, but at a rate that jibes with an accelerating economy and an uber-tight labor market.