ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Stock Market Commentary The week closed with strong speculative energy, particularly in crypto, with the signing of a package of crypto legislation including a stablecoin bill. Surprisingly, the speculative frenzy did not translate into the overall stock market beyond a few select stocks like OpenDoor (OPEN). In fact, the major indices mainly had a steady … Read more
Stock Market Commentary The stock market endured what Yahoo Finance dubbed a whirlwind week, and remarkably, the market came through largely unscathed and continued to hold highs. The July 9th expiration of the pause on reciprocal tariffs generated a wide range of outcomes – letters, temporary deals, and even punitive measures. Yet, the stock market … Read more
Drawdowns are an important part of trading and investing. For example, risk management is all about surviving drawdowns that could prevent you from receiving the rewards on the other side. In “How to Trade During the Stock Market’s Most Dangerous Months,” I use median and average maximum drawdowns as a measure of seasonal risks in … Read more
Stock Market Commentary In just three months, the stock market has transformed from fragile to fearless. Friday’s return to overbought territory, on the heels of another jobs report that beat “consensus expectations”, underlined the market’s fearless bullishness. The jobs report made imminent rate cuts even less likely. Along with that prospect, bond yields nudged higher … Read more
Stock Market Commentary This week brought a return of market calm across the stock market following a sharp but brief trade-induced shock. The episode began with President Trump’s threat of significant tariffs on Europe (and foreign-made iPhones), which rattled the market. However, that fear evaporated after Trump walked back his threats with a 90-day pause … Read more