State of the Markets

Inflation Is Starting To Look Real

By: David Moenning

For years now, Fed officials have bemoaned the fact that inflation has been below their "target" of 2%. As such, the one of the primary goals of the Federal Reserve board has been to get inflation back up to levels deemed appropriate. As someone who came into the business in mid-1…

Divergences Are Yellow Flags

By: David Moenning

The NASDAQ - you know, the index where most of the market's hot stocks tends to trade - closed Friday at a fresh new all-time high. The S&P 500 appears to have broken out of the recent range. The small-cap indices are in uptrends and just a stone's throw from last week's record closes…

Let's All Play: Breakout or Fakeout?

By: David Moenning

CNBC's "Fast Money" kicked off their show Tuesday afternoon with a game they called "Breakout or Fakeout." To be honest, I usually have the T.V. on mute the vast majority of the day. However, this segment was fun to watch as the traders took turns making their "call" on whether stocks wil…

All About The Growth?

By: David Moenning

Don't look now fans, but the S&P 500 is up three days in a row and has finished in the green five of the last seven sessions. This in the face of all the trade fears and hand wringing about the potential impact an extended trade war would have on the economy. As such, investors appear…

Goldilocks Trumps Trade (For Now)

By: David Moenning

I took several calls last week regarding the trade tariffs going into effect on Friday at 12:01 eastern time. Advisors were concerned about the impact of the much-touted tariffs becoming a reality and the potential for an escalation of the situation. But in reality, the stock market appea…

Why Aren't Stocks Recognizing the Great Economy and Earnings?

By: David Moenning

I was asked by a financial professional yesterday why the stock market has struggled so mightily over the past few months. Before responding, I asked a question of my own, "First, let's define what you mean by 'the stock market.'" As I assumed, this advisor was focused on the venerable Do…

Indicator Review: A Crack In The Foundation?

For some time now, I've referred to the current market cycle as a corrective/consolidation phase. My thinking has been that after a 57% move from February 11, 2016 through January 26, 2018 (a move that included what appeared to be a blow-off top in January this year), a period of "digesti…

The Action Is Getting Sloppy, But Indicators Still Say...

By: David Moenning

The market action has definitely turned sloppy over the last two weeks. Small-cap investors may not have noticed thanks to the string of fresh all-time highs. However, those focused on the DJIA are painfully aware of the market's struggles as the venerable index has finished lower in eigh…

Self-Fulfilling Economic Prophecy?

By: David Moenning

In yesterday's morning missive, I painted a picture of a strong U.S. economy. We reviewed six charts from the latest NFIB survey that showed small business owners to be doing w…

Some Charts You Just Can't Ignore

By: David Moenning

Don't look now fans, but the venerable Dow Jones Industrial Average has fallen for six consecutive sessions. While, the S&P 500 has fared a bit better, and the small-cap indices are actually up during this time frame, many analysts seem to think that an all-out trade war and/or slowin…