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: Jerome Powell, and the Federal Reserve, remained resolute with the anti-inflation rhetoric. The stock market hated it. Slowing growth, recession fears, and hopes for “peak inflation” are still not producing the result Wall Street wants: a Federal Reserve backing down from monetary tightening, also known as “the pivot.” The bears seized the … Read more
The U.S. dollar (UUP) is at 11-month highs. The dollar index is finally showing the strength many expected from the beginning of 2014 in anticipation of strong economic numbers and subsequent rate hikes. The chart above shows that the U.S. dollar index has been on a relative tear since bouncing off its QE3 reference price … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on September 3, 2012. Click here to read the entire piece.) “…the private sector’s revised outlook for the policy rate also appears to reflect a growing appreciation of how forceful the FOMC intends to be in supporting a sustainable recovery.” (Ben Bernanke … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are posted on twitter using the #120trade hashtag) T2108 Status: 67.2% VIX Status: 15.2 … Read more
Gold is suddenly just about the only asset that is working in financial markets. This fact will likely ignite a positive feedback loop that will send gold parabolic in a matter of time. In “India Gold Imports May Reach a Record“, Bloomberg provides some great statistics from various sources that seem to add weight to … Read more
Finally, silver re-awakens. After a near straight-line recovery from August’s lows, silver broke out with a gap up to new highs for the month. Source: stockcharts.com The ETF for silver, iShares Silver Trust ETF (SLV), is of course following a similar pattern. With silver (and gold) being one of the few assets working on the … Read more