Pro’s See the Next ‘Big Move’ Lower
Does the near-term upside reward meaningfully offset the downside risks? That’s the question you should be asking yourself today… I don’t think they do.
The Fed’s ‘Zombification’ of Corporate America
When the Fed declared their intent to purchase corporate debt ETFs at the height of the crisis- some considered it a step too far. Today they declared this still wasn’t enough…
Good Luck Fighting the Fed…
Bank of America issues “Mea Culpa” – lifting S&P target to 2900 Stan Druckenmiller says he “underestimated the impact of Fed liquidity” Why the market can easily make you look foolish. There’s an old saying when it comes...
Will the Shape of the Recovery Prove Equities’ Optimism Correct?
There’s nothing wrong with viewing life as “half-glass full”
.. and that’s generally my lens. But at some point – the economy (ie Main St) will need to prove Wall Streets heightened optimism correct.
My Top 5 Takeaways from Buffett’s 2020 Shareholder Meeting
Arguably the greatest investor in history – Warren Buffett – delivered his annual report to shareholders this week. These are my Top 5 takeaways from this year…
The Great Divergence b/w Wall St & Main St.
Think about how much the macro landscape has changed in a year. For eg, this time last year it was a market growing at a steady 2.0%+ GDP with near full employment and wage growth of over 3%. And today? Well stocks are at the same level – but we have corporate profits (and revenue) decimated; government regulations (not COVID) have forced 26.5M people to file for unemployment (with millions more to follow)…
26M+ Lost Jobs Due to COVID-19
Good news: 4.4M new people who filed for unemployment this week was lower than the week before. Some might argue that’s a positive trend. Bad news: the total number of US people who have filed for unemployment is now 26.5M in just 5 weeks… eliminating all the additional jobs created post 2008. Around 1 in 6 Americans have lost their job.
Fed: “A Long, Hard Road to Recovery”
From mine, it’s the Fed which has juiced the rally so far… less so what we see with “the curve”. To be fair, there are early signs (very early) the infection curve is starting to flatten…
Fed Responds to Insatiable Money Demand
Over the past few weeks – we’ve seen sheer panic in markets. As a result, the US Government and Central Bank have offered up to $6 Trillion in emergency funds to limit the impact to business and families… will it help?
Fed Goes Nuclear with QE!
What we’re seeing today is unprecedented on various levels. And I’m not just talking the government’s “induced economic coma”…
Recent Posts
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The market's can't put a foot wrong... Hot on the news of Pfizer's and Moderna's vaccines - today it was AstraZeneca's turn. The COVID-19 cavalry …Read More »
