I’m going to do something a little bit different for this week’s market commentary. As most of my readers are aware, I am in the “growth slowing” camp and have been advocating for U.S. treasury bonds (NASDAQ:TLT) since the middle of last year.
TLT has been an outperformer this year. And I believe it may still have room to the upside as the U.S. economic slowdown continues.
In case you missed Jeff’s recent post: “3 Considerations For Investors Into Wild Presidential Election“
So I thought this week I would just show a series of tweets that I gathered mid-week. I think they do a good job of summing up my thoughts on the current state of the markets: growth continues to slow, companies are missing already reduced earnings estimates, and this is the third quarter where company sales and profits are negative.
Of course, they are hand-picked by yours truly so there is some bias here. But the overall message of an economic slowdown is real. Have a great rest of your week!
Target’s quarterly profit falls nearly 10 percent https://t.co/3eMimj3w16
— Reuters Business (@ReutersBiz) August 17, 2016
Lowe’s quarterly comparable sales miss estimates https://t.co/w2gHATkNtG
— Reuters Business (@ReutersBiz) August 17, 2016
U.S. inflation tame despite economy gaining momentum https://t.co/BPNSczuYzd
— Jonathan Chevreau (@JonChevreau) August 17, 2016
MBA: “Mortgage Applications Decrease in Latest Weekly Survey” https://t.co/176jAjD33N
— Bill McBride (@calculatedrisk) August 17, 2016
Staples quarterly sales falls 3.7 percent https://t.co/bbmCdcdfzM
— Reuters Business (@ReutersBiz) August 17, 2016
Lowe’s misses Street 2Q forecasts https://t.co/tVqVsaV7Vr $LOW pic.twitter.com/QJ4z2fMtnA
— Yahoo Finance (@YahooFinance) August 17, 2016
Target beats 2Q profit forecasts https://t.co/E9FhZNAp8A $TGT pic.twitter.com/fqJWzY5zFm
— Yahoo Finance (@YahooFinance) August 17, 2016
USA: if you bought them 1yr ago today: SP500 +3.6% vs. Long Bond $TLT +12.1% #GrowthSlowing continues to outperform
— Keith McCullough (@KeithMcCullough) August 17, 2016
EARNINGS SEASON (463 of 500 have reported) pic.twitter.com/FLqbhlywdL
— Keith McCullough (@KeithMcCullough) August 17, 2016
Thanks for checking in and have a great rest of your week!
Twitter: @JeffVoudrie
Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
