Stocks & Bonds

Stock Market Rattled But Fundamental Growth Story Still Intact

Last week we wrote a piece titled “Rising Bond Yields Rattle Equity Markets.”  Well, bond yields tolled alright, and equity markets found their bell rung in terms of handling rising bond yields. The U.S. ten-year topped out twice last week at precisely 2.88%. The S&P 500 declined 5.2 percent and…

Investor Sentiment Update and Outlook: 5 Charts

The much awaited and widely predicted correction (that no one really ended up predicting) has turned 2 weeks old now, and driven the S&P 500 down almost -12% top to bottom. So it’s timely to take a snapshot of where market sentiment is sitting across a number of key indicators…

S&P 500 Trading Update: Rally Eyes Short-Term Resistance

S&P 500 Trading Outlook (2-3 Days):  MILDLY BULLISH  The S&P 500 has covered a lot of ground in the last nine trading hours, recouping nearly 40% of what was lost over the course of nine trading days. This comes after losing over 10% in just nine days. Clearly, this is much different…

Stock Market Futures Update: Bounce Helps Trapped Buyers

Broad Market Outlook for February 13, 2018 Cross currents are bringing choppy action as price resistance formations form. Traders need to be careful with buying extended moves in this environment as there will be trapped buyers in the mix of contention (looking to sell into each move higher). If you’re long,…

Stocks Bounce Higher But Market Risks Loom

Monday saw stocks continue the bounce that started on Friday. That day the S&P 500 rallied back from a deep loss to close up 86 points. And on Monday morning, the S&P 500 (SPX) gapped higher to continue the rally.  But market risks are still in the air. Let’s view…

U.S. Equities Update: Will Correction Work Off Excess?

The equity markets have experienced the first significant stock market correction since June 2016. Stocks fell 5.0 percent last week and are down 10 percent from the record high on January 26. A 10 percent correction typically happens every 18 months, making the stock market’s recent plunge a normal occurrence….

S&P 500 Weekly Outlook: Welcome Back Two-Sided Market!

The stock market declined once again last week, with the S&P 500 (SPX) falling 5.1%. This occurring despite Friday’s reversal and rally back into the green. That rally is carrying over into today’s action. But traders should prepare for another bumpy week. Welcome back, two-sided market! S&P 500 Analysis and…

Stock Market Trends Review & Outlook (Week 7 / 2018)

THE BIG PICTURE Investors are operating in a volatile stock market climate for the first time in many months. And the reality of a stock market correction (whether brief or intermediate term) is setting in. The markets are set to rally for a second day in a row, and there…

Cyclical Stocks vs Defensive Stocks: The Next Shoe To Drop?

The February stock market correction has investors scrambling to find the reason behind the rapid fall in the major indexes, with various rationale being suggested. Truth is, sometimes you get technical-driven corrections without a “reason”.  But the other thing it does is increases scrutiny of existing known facts, such as…

Market Futures Trading Outlook For February 12

Broad Stock Market Outlook for February 12, 2018 The media quoted ‘correction mode’ in more articles than I can count but one day does not determine a trend. The bounce off Friday’s lows has advanced into resistance and the weight of recovery sits clearly on the shoulders of the traders trying to breach Thursday’s congestion…