Welcome back to What’s Happening Now, our weekly digest of what’s going on that could impact your portfolio. A strong November jobs report last week topped the news, which is likely to keep that all-important yet inherently flawed unemployment number... Read more »
We all remember the Twilight Zone, Rod Sterling’s classic American T.V. franchise back in 1959 in which Sterling invited viewers into a “5th dimension middle ground that lies between the pit of man’s fears and the summit of his knowledge.”... Read more »
Earlier this week, we talked about the Quads – a powerful tracking tool that actually follows money in and out of stock market sectors. The Fed doesn’t make it easy to get to the truth; they’d rather we all bought... Read more »
There's one constant underpinning this market: The Fed. It has literally lost its collective mind (not that I feel sorry for them), like headless chickens running aimlessly around the otherwise impressive façade of the Eccles Building.
My daughter says I write about the Fed too much, but there's no way around it: The Fed is the market now.
We've presented plenty of evidence that this cadre of PhDs is simply making up policy as they go; forever scurrying to keep their Wall Street master smiling.
This experiment, of course, ends badly, but in the near-term we also know that when the Fed is pumping steroids (which is to say slashing rates and printing money at the same time), the markets will go up.
In October, the money printers returned, and I mean big time-which prompted me, the jaded macro bear, to pause my fishing trip out West and scream "Party on! The money printer is back!"
Earlier this week, I shared compelling evidence that the Fed’s unprecedented money-printing ($278 billion being just the latest round) has distorted stock market forces to such a degree that this current, explosive rally doesn’t really have a foreseeable end. The... Read more »
In the last two weeks, market winds have been changing dramatically in both direction and speed – which is typical in a Fed-driven Twilight Zone. In such muted, back-and-forth markets, the signals get confused and it’s easy to feel frustrated.... Read more »