Despite escape-velocity meme, yield curve continues to tighten Message of belly/long end of curve to short-end: be careful what you ask for Financials diverge from 10-2 spread, perhaps setting up as shorting opportunity next month One of the contrarian themes … Continued
10-year notes yielding lower vs when Nov’s blockbuster jobs report came out Large speculators’ net shorts in 10-year-note futures at four-plus-year high Bond vigilantes not buying hopes and prayers of escape-velocity backers Treasury bonds continue to catch a bid. A … Continued
Bears must be scratching their heads over the move by equities the past couple of sessions. Intra-day, the S&P 500 (2041) has managed to rally 3.7 percent. If we must find a catalyst, there are many to choose from – … Continued
Gold fails to generate enough buying interest near important support levels Despite oodles of central-bank printing, inflation remains a no-show 1,180 next line of sand, which is not too far away; must-hold Remember the chart below? This was from Monday … Continued
Fed has openly discussed benefits of wealth effect; now adds another tool – talking down dollar Six years into recovery post-crisis, U.S. economy yet to witness escape velocity Dovish FOMC message fails to ignite sustained rally in US equities These … Continued
Equity bulls and bears lock up horns in quest to dictate near-term direction Last week’s lows saved on major indices, amidst very bullish engulfing patterns VIX once again rejected at/near 17-18; one more opportunity for bulls to take out resistance … Continued
Tick, tick, tick. That is the sound of the clock ticking for the first rate hike by the Fed. It is coming sooner than expected. So it seems. Or, is it? At least that is how the market seems to … Continued
Two members of the Monetary Policy Committee, the Bank of England’s interest rate-setting committee, voted to raise interest rates by 25 basis points in August, the minutes released yesterday showed. Market participants were taken by surprise. They have been conditioned … Continued
For the last five years, the S&P 500 index has bounced up and down within a channel. Technicals have been in gross overbought territory for a while now. The last time the index had a 10-percent correction was two years … Continued