Stocks Rally As They Await The Fed Decision

Stocks Rally Slightly & Curve Flattens With the North Korean news in the rear-view mirror and the Fed meeting ahead, the stock market rallied slightly on Tuesday. The Russell 2000 was up 0.46% and the Nasdaq was up 0.57%. The S&P 500 was up 0.17% which brought it to 2,786.85. That is less than 1 point…

Stocks Wait For The Big News Events To Occur This Week

Slightly Positive Monday Monday’s trading action was what you’d expect from a market anxiously waiting for big new events to unfold later in the week. The S&P 500 was up 0.11% which 4.57 points off the March high. The S&P 500 almost crossed above that point, but there was a minor selloff at the end of…

Investors Are Becoming Optimistic (Not Good)

Optimism Is Here I’m strongly in the camp which expects the S&P 500 to break its all-time high opposed to forming a double top. I’m not big on technical analysis, but that would be a scary chart pattern if it occurred. However, even though I’m still bullish on the stock market in the near term,…

S&P 400 Hits A Record High

Another Rally- Stocks Are On Fire On Friday stocks had an across the board rally as all major indexes went up. The S&P 400, which is a mid cap index, hit an all-time high as it was up 0.5%. The S&P 500 outperformed the Nasdaq and Russell 2000 as it was up 0.31%. The S&P…

10 Year Treasury Yield Has A Mini Crash

Reversal Thursday I mentioned after Wednesday’s stock market close that the tech stocks and the small caps were overbought. We saw a reversal of the recent trading action on Thursday as the Dow and the S&P 500 outperformed the Nasdaq and Russell 2000. The big caps rallied after underperforming this year. McDonald’s led the Dow…

More Job Openings Than Unemployed Workers

Kicking The Can Down The Road With the recent acceleration in economic growth, the new trend is analysts at the major investment banks pushing off their recession prognostications by a year or two. When the economy falters, it’s very easy to call for a recession because this cycle is about to be the longest since…

Stocks Rally As Economic Data Signals 3.7% GDP Growth

Another Rally On Wednesday It was another record day for small caps and tech stocks as the Russell 2000 was up 0.68% and the Nasdaq was up 0.67% on Wednesday. The S&P 500 was up 0.86% to 2,772. The next big technical milestone is 2,787 which is the 2nd highest peak in history. It was…

The End Of The Buyback Blackout Period Is Helping Stocks

Buybacks Helping Stocks There were a lot of reasons stocks fell during the Q1 earnings season. The results were great, but stocks were in the midst of a sentiment shift catalyzed by the unwind of the short volatility trade. Since then, fears of geopolitical strife and trade wars have hurt performance. One of the lesser…

Refuting A Bearish Argument: The Economy Is Accelerating

Record Highs In Tech, Small Caps, And Microcaps I have been very bullish on stocks recently which has been the correct position to take as the S&P 500 has broken out of its recent tight range. It was up 0.07% on Tuesday. Tuesday was a microcosm of the recent action since the S&P 500 was…

Q2 GDP Expectations Continue To Climb

Motor Vehicle Sales Motor vehicle sales are a big portion of consumer spending which goes into GDP. I have been expecting 2018 motor vehicle sales to be weak, but I expect a pickup in GDP growth in Q2. As you can see in the chart below, total vehicle sales were 16.9 million which missed estimates…