Good morning.
Governments can print money, but they can’t print food. Or energy. That’s the takeaway from the latest moves by OPEC+ to keep energy prices high. The cartel is cutting production by 2 million barrels per day.
While oil prices have been trending down with a slowdown in the economy over the past few months, OPEC has shown that they’re the true world central bank. By controlling the supply of energy on the market, they can do just as much as the rest of the world in hiking interest rates.
That bodes poorly for most stocks outside the energy space. As long as there’s a push to keep interest rates rising and energy prices rising at the same time, most sectors will see a slowdown in demand. Traders need to continue to remain cautious, even with the market’s rally this week. There could be further – and quick – drops ahead for stocks.
Now here’s the rest of the news:
46 Trillion Dollars In Financial Wealth Has Disappeared
In less than one year, 46 trillion dollars in financial wealth has been wiped out. If that isn’t a “crash”, how would you define one? Since last November, stocks and bonds have been plunging all over the globe. When there is a good day like we saw on…[Read Here]
October 07, 2021
Good morning.
Gauging market sentiment is a good way of getting a sense of how the market could trade in the next few sessions. Of course, when sentiment gets overly bullish or bearish, it can also reflect a potential reversal trend.
The latest readings are at a fearful level, and just a step above an extreme fear. The CNN Fear and Greed Index is at 27 (with extreme at 25). And the AAII Sentiment Survey shows that 40.7 percent of responses were bearish, the highest level in a year.
That’s in contrast to a neutral reading a month ago before the latest market downturn. That suggests we still have a rough few weeks ahead, and aren’t quite ready to reverse higher and shake off the latest market fear.
Now here’s the rest of the news:
How the Money-Printer Economy Mostly Benefits the Already Super-Rich –Wolf Richter, Wolf Street
Americans in general haven’t benefited from Fed policies. Only the very wealthiest. The more assets they already had, the more they made… [Read Here]
Evergrande Is Just One of 4 Major Warning Signs Flashing for the Global Economy –Ben Winck & Harry Robertson,Business Insider
Soaring energy prices, supply chain snarls, slowing global growth and prices hitting multi-year highs… Evergrande is just the tip of the iceberg. [Read Here]
October 07, 2020
Good morning.
Markets hate uncertainty… and they love stimulus. So it’s no surprise that the stock market was buoyant that some more stimulus programs would be hitting the economy, possibly by the time of the election.
However, President Trump called a halt to the latest negotiations, with a plan to wait until after the election instead. If you think markets threw a tantrum on Tuesday, just wait until 2023… or later… when the Federal Reserve next raises its interest rate from 0 to 0.25 percent.
Now here’s the rest of the news:
A year ago the biggest issues regarding Brexit involved Britain’s border with Ireland, which will remain part of the EU. Prime Minister Boris Johnson (back then) proposed a change that would allow Brexit to go through that addressed the issue, but the EU rejected it.
The Brexit “problems” continue to today in the midst of a Global Pandemic…
October 07, 2019
This is a great morning routine to follow for entrepreneurs of all sorts. Here’s Sunny Lenarduzzi to guide you through:
10 Steps To Wake Up Motivated Every Morning
Seems easy enough to do … AND PROBABLY … just as easy to skip! I suggest we try it for a week straight … SEVEN DAYS … before we sideline the idea.
What do you say?
Are you set for motivation? 🙂
