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 NASDAQ is still toppy, but no matter. Small cap stocks are playing the role of super hero. They made a major statement helping to drive market breadth into overbought conditions. These tiny tots turned super hero in historic fashion. Talk about igniting overbought conditions in style! Forget all that talk about … Read more
Stock Market Commentary Last week further emphasized the continuation of notable divergence from Q2 to Q3. This time, soft inflation data caused a surge in rate cut anticipation that in turn drove a significant rotation away from big cap growth and tech stocks and toward small caps and a whole host of other rate sensitive … Read more
Stock Market Commentary The second quarter of the year ended with notable divergence. The third quarter picked up where the second quarter left off. Q3 took the Q2 baton of notable divergence, sending big cap stocks ever higher while leaving most of the market further behind. The jobs report seemed to be strong enough and … Read more
Stock Market Commentary In Q2, the S&P 500 (SPY) enjoyed a 2-month rebound from an April sell-off. The index ended Q2 with a 3.9% gain. The stock market as a whole ended Q2 with a notable divergence in which market breadth, long maligned for the quarter, suddenly improved despite bearish topping patterns appearing on both … Read more
Housing Market Intro and Summary What happened in the housing market in June, 2024? The broadening weakness I described in my previous Housing Market Review continued and confirmed a spring selling season bust. The data in June delivered a picture of a sales slowdown accompanied by increasing affordability squeezes despite inventory increases. Housing Stocks The … Read more