Market News & Insights

Fed Agenda? Why The Reaction To Q2 GDP Is Worth Watching

On Wednesday morning, Investors will be greeted by 2nd quarter GDP data. As of right now, it is not a matter of whether there was Q2 GDP growth, but how much. And this has put the Fed (and economists and investors) in a bit of a pickle.  Perhaps this is why the capital markets are acting up of late… Yesterday, fellow contributor Andrew Kassen and I talked about the upcoming

U.S. Stock Market Overview and Economic Update

We continue to see the financial markets make slight adjustments to a slowing US economy. Here’s a quick stock market performance update from last week: The S&P 500 virtually ended the week where it began while the Dow Jones Industrial Average declined 0.82% and the Russell 2000 0.65%. Additionally, here’s what my trending indicators are saying: US Stock Market                     Trending Down Canadian Stock Market         Trending Up US Bond Yields                        Yields Trending Down For

Is The Stock Market Starting To Show Some Cracks?

Last week saw a spike in stock market volatility. The S&P 500 finally had a move +/- 1%, ending the run of 62 days of below average volatility.  What looked like the beginning of a correction on Thursday quickly reversed itself on Friday when it closed less than one half of a percent below its all-time-high of 1,985. Still, the trending indicator that I use to determine the intermediate trend

Financial Market Overview: Is Banco Espirito Santo A Canary In The Coal Mine?

We saw the U.S. equity markets retreat from their all-time highs (except the Nasdaq Composite which still has yet to break it’s 2000 all-time high!). The retreats were modest except in the growth-oriented Russell 2000 which declined 4.04%…in a single week. Volatility was up 12% from many see as complacency lows. The intermediate term trending indicators I use are still showing green arrows for the US and Canadian stock markets but internally

Asset Managers Hint At Return Of Retail Investors

Last month I proposed the hypothesis that behind the divergent signals we’ve been seeing in the market are retail investors (small business owners and middle class), who did not participate in much of the great 2013 uptrend. In recent months, social media has attempted to reconcile the buoyant equities market with an uneven economic landscape. I would like to take this another step further and look at what the flow of

Stocks Shake Off Losses But Risk Aversion On Watch

As U.S. equities prepared for a gap down at the open, investors were greeted with an assortment of headlines blaming anything from worries about weak earnings to a slowing global economy. But now that the market has battled back by mid-day, the headlines are shifting to highlight overblown fears.  Worth a chuckle, as we still have two hours to go and plenty of time for more back and forth. The bottom line is

Risk Off? Stocks, FX Carry Falter As USTs, Gold Find Bid

Following broadly-shared but contained losses across Asian bourses overnight, major asset classes assumed a cautious tone after European market centers opened earlier this morning, trading sideways to slightly down. Then ater the NY open at 0800ET, risk aversion kicked in more aggressively, escalating around 0930ET with the 10-Year Note and Gold bid as stocks tumbled and in-flows picked for the Japanese Yen. Here’s a snapshot of how things are evolving/devolving

The Week Ahead: Market Recap And Overview

Last week the payroll number came in higher than expected and the S&P 500 and the Dow Jones Industrial Average set new all-time highs. As I write this on Monday morning we are seeing the markets retreat about 0.3%. The trending indicators still show the market has more room to go higher. But this doesn’t mean I’m comfortable, or that investors should become complacent! Volume continues to be light and

Investor Questions: Trying To Solve The 2014 Financial Market Riddle

Entering 2014’s second half, a number of investor questions and random thoughts are swirling around in my head. In an effort to put together some of the market’s puzzle pieces, and to try to get a grasp on an increasingly difficult environment to decipher (and invest in), I’m asking myself a number of market-related questions. And I’d be curious to know yours as well. Here’s my list: Can you remember

Could Q1′s Terrible GDP Actually Mean More Upside For Stocks?

Following last week’s Final Q1 2014 GDP Print at a staggering – but by many accounts, transitory – -2.96%, the gentlemen at J. Lyons Fund Management (JLFMI) took up the task of checking the number against the 25 Worst Quarterly U.S. GDP Prints In History. A couple interesting datapoints emerged: Q1 2014′s GDP was the 17th worst (in 2009 dollars) since quarterly records began in 1947. Q1 2014′s GDP is the