Good morning. Yesterday’s double-header on inflation and the Fed meeting ultimately resulted in the status quo remaining unchanged. Interest rates are staying the same. And inflation is significantly down, but will likely bounce around in the months ahead thanks to factors such as energy prices.
That continues the theme of interest rates staying higher for longer. That’s not an ideal status quo, as it means that investors will face the prospect of declining interest rates only if the economy moves into a recession next year.
For now, the market can continue higher into the end of the year. Investors and traders can use any weakness in the weeks ahead to prepare for the end of the year. Just look at real estate and the credit markets to show the first sign of that trend changing.
Now here’s the rest of the news:
China’s Economic Slowdown Is A Global Problem
For decades, as it became the world’s factory, China has exported cheap goods to stores near you. But as the nation battles a real estate slump and an unemployment crisis, it will soon be exporting something else: global economic pain… [Read Here]
September 14, 2022
Good morning.
The latest CPI number for August showed a slight gain. While there was some good news in there, particularly dropping gasoline prices, the ongoing increase in major costs for consumers such as rent/housing and groceries looks a bit dire. Added to other data, like a lack of household growth over the past year, and it’s clear that inflation is here to stay – and will continue to have a negative impact on the economy.
Traders should continue to look for trades with downside potential. And look for trades that can benefit from inflation, like energy and commodity prices. But for now, a potential to retest the June lows looks on the table for investors. Plan accordingly!
Now here’s the rest of the news:
If Inflation Stays Elevated, Democracy Itself Is At Risk
The U.S. could have a sovereign debt crisis as Treasury yields rise and other countries fail to pay back their dollar-denominated loans, said Michael Gayed, portfolio manager and publisher of the Lead-Lag Report. These trends could pose risks to democracy… [Read Here]
New Trend Among American Businesses Proves Recession Is Near
Some 66% of business owners say we’re in a recession for sure with 28% adding it feels more like a “Depression.” And they’re 9% more pessimistic about the economy than the average U.S. SMB, as 57% of them think we’re in a recession… [Read Here]
September 14, 2021
Good morning.
With Labor Day weekend over, oil prices should be trending down. The summer driving season in North America is over, and it’s largely an American phenomenon. However, expectations for a potentially colder-than-average winter are keeping a bid under oil prices right now.
At a time when traders typically expect lower prices going forward, oil is now at a 5-week high and trending higher. And Bank of America analysts see crude oil pumping as much as $100 per barrel under an exceptionally cold winter scenario. It’s likely that gas prices may remain higher for longer than expected, and can also weigh on the costs of any energy-intensive business.
Now here’s the rest of the news:
Medicare Is About To Run Out of Money, Democrats Want To Make the Program Cost Even More –Peter Suderman, Reason
The Medicare program is on track for a trust fund shortfall in just five years. But instead of just paying for it as-is, Democrats want to expand it… [Read Here]
Yellen Warns U.S. Could Run Out of Money Next Month for ‘First Time in Our History’ –Georgina Tzanetos, Go Banking Rates
The Treasury Secretary wants the debt ceiling raised now. Waiting until the last minute could have catastrophic effects on the economy overall, she desperately warned… [Read Here]
September 14, 2020
Good morning.
Coming off a holiday-shortened week, the stock market had plenty of drama for investors. As you look at the sector performance of the S&P 500, it was Materials that posted the only weekly gain, followed by Industrials and Utilities. That’s quite an unusual grouping on the down week. At the bottom of the sector list was Energy, Technology and Communication which all lost over 5% on the week. If the market can find its bullish footing next week, it will be interesting to see if Utilities and Staples moves up the list or will it be Technology and Communications.
Now here’s the rest of the news:
Teetering FAANG Stocks Are Raising These Critical Questions
After losing a staggering $500+ billion in value in just a few days, a growing chorus of analysts are questioning if these stocks are worth the risk.
Price at week’s end (change over last week) As political tensions boil, one fund is warning that the coming election could significantly destabilize the markets.
Gold $1,942.78 (+0.3%) … Silver $26.85 (-0.6%) … Platinum $936.28 (+2.4%) … Palladium $2,395.97 (+0.9%)
September 14, 2019
Did you see my cartoon about the bigger fish swallowing the smaller fish, which was chasing the even smaller fish?
Today Darren Hardy, my mentor, asks that very question, “Are You Top of the Food Chain?” Enjoy today’s video.
“Though we travel the world over to find the beautiful, we must carry it within us, or we find it not.”
—Ralph Waldo Emerson
Wasn’t that great? Of course it was… 😉
September 14, 2018
(zip)
September 14, 2017
After yesterday’s whale watching adventure, we woke for the last morning in New Brunswick, at least for this vacation year. We then headed down into the heart of Saint John to snap a few historic moments before scurrying to the terminal for a short trip, by ferry to Nova Scotia.
We were to come upon what our bed and breakfast hosts would self-describe as a million dollar view. Got to agree…
And yes, what a spectacular view it was here in Digby, N.S. We settled into our B&B rooms, then strolled down mainstreet for a bite to eat on-the-shoreline. What a relaxing place to wind down and take in a few geocaches. Wow…
We’ll be back!
REW
