Markets tried hard to rally this week – but was met with strong selling. I lay out both the bullish and bearish case… where I favor lower prices with a S&P 500 target of 3200
Fed Gets another ‘Green Light’
September’s strong jobs report gave the Fed more scope to continue with their aggressive rate hikes. Unfortunate a Fed “green light” is a stock “red light”
Tread Carefully…
The two biggest headwinds facing stocks are higher rates (bond yields) and the US dollar index. Both are yet to peak or show signs of a downward trend. And until they do – we can’t call a bottom in equities.
The Most Important Thing We’re Yet to See
Stocks are rallying as bond yields and the dollar index are pulling back. But I would temper any enthusiasm – this remains a very bearish market. Why earnings expectations need to come down.
For a full list of posts from 2017…