Market Brief – Tuesday 9/11/18

Stocks surged today but the more interesting news is in the bond market. Ten-year Treasury yields backed up to 2.97% which has been an area of strong resistance going back to June and August. A resistance level is where previous buyers or sellers have bought or sold. Markets frequently retest resistance levels to find out … Read more

Morning Market Brief — Tuesday 9/11/18

Yesterday’s attempt to push stocks higher failed, but today’s hammering of volatility appears to be working as stocks are effortlessly moving higher. The financial media reported this morning that long-term Treasury yields were headed higher due to today’s upcoming three-year Treasury auction. I don’t think so… There is a record short position on long-term bonds, … Read more

Market Brief — Monday 9/10/18

U.S. stocks opened higher on news that House Republicans were proposing a second round of tax cuts to make lower individual rates permanent, to eliminate the maximum age for some retirement account contributions and to allow new businesses to write-off more of their startup costs. Only tech stocks and small-caps could hold their early gains … Read more

Weekend Market Brief — Sunday 9/9/18

Corporations have pledged to repurchase $1 trillion of their own stock back this year, which is creating an opportunity for corporate executives to sell their shares to an indiscriminate buyer. In August, corporate executives cashed out over $10 billion of their own stock, the largest amount since November 2016. Year-to-date, corporations have purchased $850 billion … Read more

Market Brief — Thursday 9/6/18

The growth rate of the M2 Money Supply ticked up slightly to 4.02%, which has been decelerating since 2016. Be aware, historically when then the growth rate of the money supply falls below 3.70%, our economy experiences recessions and depressions. The recent money supply data has yet to take into account last weeks balance sheet … Read more

Market Brief — Tuesday 9/4/18

While the stock market seems to be immune to the Fed’s Quantitative Tightening, foreign stock markets are feeling the dollar liquidity drain. After rising into the holiday weekend, U.S. equities were down slightly, but the bigger news was in the bond market. Speculators who have been betting against the Treasury market since February are losing … Read more