Corporate Earnings Season is Starting
QUOTE OF THE WEEK “Kind words are the music of the world.” – F. W. Faber TECH CORNER Corporate Earnings Season is Starting First quarter earnings season has already started and will last through Memorial Day. Some banks have already reported showing big banks doing well and some small banks not so much. As far […]
Five Questions about Long-Term Care
Grab some popcorn and the drink of your choice. Sit back and watch the first quarter data come in.
Turmoil in the banking sector
The failed banks bought those long duration Treasuries when interest rates were low.
Officials Considered Pausing Increases
Projection of interest rates
The Collapse of Silicon Valley Bank
The FDIC’s guarantee
Week of March 6, 2023
QUOTE OF THE WEEK “The soul would have no rainbow if the eyes had no tears.” – Native American Proverb TECH CORNER Federal Reserve Chairman Jerome Powell testified today before Congress and the equity markets didn’t like what he had to say….
Equity Market, Economy and Housing Front
QUOTE OF THE WEEK “Hold fast to dreams, for if dreams die, life is a brokem winged bird that cannot fly.” TECH CORNER Last week was a bad week for the equity markets. The S&P 500 was down -2.66%, the Dow was down -2.97% and the Nasdaq was down -3.31%. As of Wednesday morning of […]
Last week’s Fed meeting
QUOTE OF THE WEEK “The only person you are destined to become is the person you decide to be.” TECH CORNER Last week the equity markets were pretty much flat with the S&P 500 -0.20%, the Dow up+ 0.02%, and the Nasdaq up +0.63%. What was telling was that the markets started the week up, […]
Markets fighting the bad economics news
QUOTE OF THE WEEK “One way to get the most out of life is to look upon it as an adventure.” – William Feather TECH CORNER Last week the equity markets declined with the S&P 500 down -1.07%, the Dow down -0.11% and the Nasdaq down -2.37%. This week as of Thursday, the markets are pretty […]
Are we are headed for a recession?
QUOTE OF THE WEEK “The size of success is measured by the strength of your desire, the size of your dream, and how you handle disappointment along the way.” – Robert Kiyosaki TECH CORNER There was no letter last week. I was waiting for the results of the Fed meeting and by the time I […]
IRA Contribution Limits
So far this year, as of this writing, the S&P 500 is up 3.2% YTD and the Nasdaq is up 6.1% YTD but the Bear Market is not over…
Bear Market Is Not Over
So far this year, as of this writing, the S&P 500 is up 3.2% YTD and the Nasdaq is up 6.1% YTD but the Bear Market is not over…
Equity Markets Have Held Steady For The 4th Quarter
The year has started off well for the equity markets. Last week the equity markets were up between 1% and 2%…
Economic Indicators Are Much Clearer
The economic indicators are much clearer this year than last year. With the addition of Omega Squared as our new advisor…
Volatility Spiking
We are still in Quad IV and getting deeper with the trend declining. Because of the strength of the downward trend, it looks like this trend should continue for a few more months. Of course, trends could change but the math doesn’t see that happening any time soon.
Social Security Survivor Benefits
However, no one needs more than 40 credits (10 years of work) to be “fully insured” for benefits.
The Decline
In other words, growth and inflation slowdown are imminent, and we can expect a deep Quad IV in the second quarter of 2022, whether you like it or not.
Quad 4
We are starting to see the signs of Quad IV coming down the tracks now.
Inheritance?
As much as we would appreciate a normal distribution of stock price returns, that’s just not how the stock market game works.
PVV
The three factors are Price, Volume, and Volatility with Volatility being the most important.
Inflation
We will soon start having some headwinds as people on unemployment and getting the extra $300 per month will soon lose the $300.
Infrastructure & College Funding
We don’t see a change in the Quads coming soon so it looks like smooth sailing for a while.
More on Housing
Yet, the number of initial jobless claimants remains at 16 million or roughly ten times the 1.7 million job unemployment claimants in January 2020.
Taxation of Investments
This rapid increase in housing prices may moderate going forward.
Grocery Prices Apocalypse
The inflation issue comes down to exceedingly low inventories and increased demand due to the public “getting out of jail” with lots of money in their pockets
Jobs
The US job market added only 266,000 jobs in April, falling really far short of expectations of one million new jobs.
Personal Income Rises
Starting in Mid March and through most of April, there has been a swing from growth outperformance to value outperformance.
Incapacity
What we are now seeing is a rotation from value investing back towards growth investing.
Retail Sales
We think that the March report is the start of what will be an extraordinary year in household spending.
Your Compete Number
You may want to check how you have local numbers entered into your cell phones.
Week of April 5, 2021
“When do I think things will get back to normal or the way it used to be?”
Market News and More
That means the consumer is bullish on the future.
Relief!
I find it interesting that the Nasdaq performance is up only +2.54% year to date.
Trust Basics
We see a series of lower highs and lower lows in some of the bellwether market indicators.
Pullback & Job Growth
The one negative in investors’ eyes is that all this demand will increase inflation.
The Big Drop
But the real question is, will the rise in interest rates adversely affect the stock market?
Nothing But Green Lights Ahead!
We expect an especially strong recovery in the economy …
Stimulus
I expect FOMO (fear of missing out) to infect most investors.
Employment
Whether this is the correct move to make probably depends on your political preference.
GameStop Explained
It’s a common but controversial way of trading in financial markets.
