Market Brief – Monday 10/15/18

The major U.S. stock indices tried to fight to get back over some of their key moving averages but ultimately closed below them. Foreign stocks sold off in overnight trading as global liquidity dries up. Treasury yields were mostly flat as short-sellers were unable to drive yields any higher. The S&P 500 fought to stay … Read more

Market Brief – Thursday 10/11/18

Foreign stocks were hammered last night as they followed U.S. stocks down. The computerized trading programs, or CTAs, went from a position of “max long” on the S&P 500 to “43% long” in one week, which equates to selling $88 billion of S&P 500 futures. With corporations unable to buy stocks during the blackout period … Read more

Market Brief – Wednesday 10/10/18

The computers started selling. I have been warning for the past couple of years that this market has been traded mostly by computers, with some experts indicating that 90% of all trades are computer driven. Since these machines have taken over trading, we’ve never seen them sell. Until now. According to Nomura’s cross-asset quant division, … Read more

Market Brief – Tuesday 10/9/18

Outside of the tech-heavy Nasdaq-100, most sectors closed in the red today. Asian stocks were down big and European stocks were up slightly. The S&P 500 bounced off its February highs and managed to close just over its 50-day moving average. The Nasdaq-100 bounced off its 100-day moving average and the Russell 2000 bounced off … Read more

Market Brief – Monday 10/8/18

U.S. stocks started the day higher as Asian equities were down, led by China, where stocks were down 3.7% after the Chinese stock market has been closed for Golden Week. European stocks followed suit as the European Central Bank rejected Italy’s budget proposal. Not to be outdone, European bank stocks fell to their 18-month low. … Read more

Market Brief – Thursday 10/4/18

When liquidity dries up, stock prices fall. Yesterday’s news pointed to strong growth out of the factory sector, which has analysts believing tomorrow’s Nonfarm Payrolls report could show upwards of +500,000 jobs created. With wages still rather low, it’s hard to understand where all these workers are coming from. What we do know is at … Read more