Market News
This Has Everything to Do with Rising Rates
In case you missed the memo, 2022 has been all about rising bond yields. It’s undeniable. We can’t talk about stocks without including a conversation about the bond market. More specifically, the direction of bond yields. Yields are once again pushing up against their June highs, so investors must understand the correlation between the equity…
Read MoreHow to Behave When the Dollar Remains Strong
Don’t make the mistake of not reading today’s message to investors… I know I’ve written to you more than once about this, but I’m doing it again because it’s that important! The value of the U.S. Dollar (USD) is the strongest it has been in a generation. Now that may sound great to some, but…
Read MoreIt’s Time to Sit Tech On the Bench
There’s an important seasonal tendency we’re going to focus on today because it’s September 1, and that’s when one particular sector often struggles the most. You see, September is typically one of the worst months for the Technology sector – on both an absolute and relative basis. Let me show you what I mean. This…
Read MoreThere Is No One-Size-Fits-All In Investing
The S&P 500 index just staged a very impressive rally off the June lows. Not only did prices rally, but we saw some much-improved breadth conditions – meaning more stocks have participated in the June rally than did in April/May. Healthy Bull Markets require broad stock participation – and as you can see, the percentage…
Read MoreSome Good News for Commodities
In case you hadn’t noticed, Commodities have come under a lot of pressure since June. However, there is some good news for Commodities. The recent sell-off in these inflationary assets is beginning to subside – and not surprisingly, it is happening at very logical prices. These are positive developments for the Bulls, as the appetite…
Read MoreAlways Focus On the Weight of the Evidence
At Rowe Wealth, our approach is to always focus on the weight of the evidence. Remain unbiased and follow price behavior. Avoid the news and the headlines – the media is not your friend. Start each day from scratch and gather the evidence. We ask ourselves: What does the weight of the evidence tell us…
Read MoreKiss the Fed-Pivot Goodbye
Last week’s labor market report gave the Fed a giant green light to continue its aggressive assault on inflation. So you can just forget the Fed pivot anytime soon. That means tighter conditions and further demand destruction… Contingent to this week’s CPI report, last week’s labor market data implies a more aggressive Fed going forward…
Read MoreIt’s Still a Dollar Story
Any way you slice it, it all still comes down to the dollar. We can talk about interest rates, the Yen, and inversions – there are all kinds of interesting relationships… But none of them may be as important as the impact the direction of the U.S.Dollar has on risk assets around the world. I…
Read MoreIt’s All About Finding Support
We can just call today’s theme SUPPORT… Because if what I’m about to show you doesn’t hold support, then the next few months could look a lot like the summer of 2008. There’s a simple way to visualize the overall direction and strength of our equity markets through the lens of just five price charts.…
Read More‘Tis the Season – Earnings Season
This week marks the kickoff to earnings season – that magical time of the year when a large number of public companies release their quarterly earnings reports. This season in particular is going to be a nail-biter as we’ll learn what the impact is of rising inflation, rising interest rates, and a strong dollar on…
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