Stocks keep making new highs, and earnings keep getting downwardly revised. That about sums up the current state of affairs in U.S. equities. With momentum as strong as it is, markets have turned a blind eye to multiples. Consequently, the … Continued
Following futures positions of non-commercials are as of February 14, 2017. 10-year note: On February 15, 10-year yields hit 2.52 percent before retreating. That high tagged a declining trend line from December 15 when yields hit 2.62 percent intraday. This … Continued
Peak optimism? We are increasingly beginning to hear commentators/observers use that phrase in media interviews, articles as well as on social media. Among other things, Charts 1 and 2 are probably to blame. In the latest week, Investors Intelligence bulls … Continued
Following futures positions of non-commercials are as of February 7, 2017. 10-year note: On January 26, 10-year yields began dropping after hitting 2.56 percent, lower than the 2.62 percent on December 15 – hence lower highs. In the meantime, they … Continued
Here is a brief review of period-over-period change in short interest in the January 17-31 period in the Nasdaq and NYSE Group as well as nine S&P 500 sectors. Nasdaq – short interest ↑ 0.9% p/p; Nasdaq composite ↑ 0.7% … Continued
Financials are once again beginning to perk up, with XLF, the SPDR financial ETF, closing last Friday right underneath near-term resistance. The ETF has been sideways for nearly a month. This followed a massive breakout post-election last year. Resistance at … Continued
Following futures positions of non-commercials are as of January 31, 2017. 10-year note: During his presidential campaign, President Donald Trump openly criticized the Fed’s easy monetary policy. Indeed, since June 2006, there have only been two 25-basis-point increases in the … Continued
It is that time of the year again. Time to ponder the January effect. The adage that postulates that as goes January so goes the year. Last year, the January effect did not quite pan out. The S&P 500 large … Continued
Regardless whether or not it is solely related to the outcome of the November 8 U.S. presidential election, several data points have seen an uptick since. Stocks rallied, with the S&P 500 large cap index up nearly six percent between … Continued
The Russell 2000 small cap index (1370.70) is stuck in a rut at a higher plateau. Sort of. The index has gone sideways for seven weeks now. In the meantime, it rose to an all-time high of 1392.71 on December … Continued