State of the Markets
Threading The Needle
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All eyes were on Jackson Hole last week. Well actually, all eyes were on their computer screens as Fed Chair Jerome Powell gave his much anticipated speech virtually at the Kansas City Fed conference, which is usually held in Jackson Hole.
In short, investors of all shapes and siz…
Delta Disruption?
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Although stocks rallied to end the week and my screens are flashing a lot of green again this morning, it appears that the relentless rally that began in March (or some might argue, November 2020) has stalled a bit. To be sure, this isn't the first time the bulls have taken a break during…
Stocks Ignoring Consumer Angst
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While surprising to some (mostly those dressed in their best bear garb), the stock market continues to work its way higher. Appearing to be climbing the proverbial "wall of worry," the S&P 500 just keeps on keepin' on - to the tune of record high closes, that is.
In case you'v…
Will Stocks Soon Experience Indigestion?
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I remained in vacation mode over the weekend and tried my best to stay away from the computers. And since I'm now attempting to dig out upon re-entry, I'm going to let the market models do most of the talking this morning.
In brief, I believe the stock market remains in what I'll …
Don't Look Now But Valuations Are Improving
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My wife and I are supposed to be vacationing in England this week and next. But since COVID's Delta Variant (and the U.S. State Department) had other plans, my wife and are instead "staycationing" via a couple short trips. While the mountains of Colorado are very different from the Lake D…
Rocky Road Ahead?
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From my seat, the key driver to the stock market game appears to be the outlook for growth. As in what the growth rates for both GDP and corporate earnings will be once we get beyond comparisons to the economic shutdown phase.
As I wrote last time, growth is likely peaking due to …
Is 'Peak Everything' A Problem?
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Despite surprisingly good data on Retail Sales, stocks of all styles, sizes, and shapes took a hit on Friday. Semis, banks, smallcaps, midcaps, and large caps - all down. Value - down. Cyclicals - down. Growth - also down. Save the traditional risk-off sectors such as healthcare, staples,…
Bulls (Still) Deserve Benefit of Doubt
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I was recently asked to provide a quick answer to the question "where are we now?" as far as the markets are concerned. While "quick answers" are not usually part of my repertoire, I decided to give it a shot.
Cutting to the chase, I believe the stock market is currently in the pr…
Why I'm Not Worried About Valuations
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One of the bear camp's main arguments is that stocks should be moving down instead of up because of high valuations. Our furry friends suggest that with traditional valuation metrics (Price-to-earnings/dividends/book value/sales, etc.) in the stratosphere, stocks simply have no upside. Th…
