Monthly Archives: February 2018

POTD: DoJ Flipping Off The President?

It is heating up, folks.  Keep it on your radar. Scoop: Besieged Sessions dines with Rosenstein If Donald Trump finally follows through on his rage and fires Jeff Sessions, the image with this story will be printed in history books. Tonight … Continue reading

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JFK-Trump S&P500 Analog – Five Basis Points On Day 328

After 328 trading days since election day, the Trump S&P500 sits right on top of the JFK S&P500.  That is the performance of the index, 328 trading days after the election day of each president, is less than five basis … Continue reading

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QOTD: On Fed Chair, Jay Powell

Larry Kudlow just on CNBC quoting President Trump after interviewing Jay Powell for the Fed chair: “The guy looks like a central banker.” – President Trump (via Larry Kudlow) (QOTD = Quote of the Day)

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Semiannual Monetary Policy Report to the Congress

February 27, 2018 Semiannual Monetary Policy Report to the Congress Chairman Jerome H. Powell Before the Committee on Financial Services, U.S. House of Representatives, Washington, D.C. Chairman Hensarling, Ranking Member Waters, and members of the Committee, I am pleased to … Continue reading

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Ambiguity Of The Dow’s Value: -3.3% GAAP v 10.5% non-GAAP 2017 Earnings

One more example of the ambiguity of stock value  and why earnings are, or can be, the creature of  a company’s CFO.  This is exactly why we prefer top line metrics, such as sales and revenues.  See here for debate … Continue reading

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Who Is Financing The U.S. Budget Deficit?

In case you missed it in our last post, here’s an interesting chart illustrating how the U.S. budget deficit has been funded since 2010 on a quarterly basis.  The data are annualized. During QE2 and QE3, from Q4 2010 to Q4 … Continue reading

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Major Stock Index Recovery Percentages

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Stocks And Bonds Now Joined At The Hip

Market Recovery The U.S. stock market rallied Friday on the six bps decline in the 10-year Treasury yield.  The S&P500 has now recovered 63.09 percent of its peak-to-low loss.  We are looking for 2,805 on the S&P500 for a green … Continue reading

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Week In Review – February 23

Bonds Are The Dog Wagging The Equity Tail A relatively quiet week on a close-to-close basis as not much movement because of no move in the bond.  The bond-stock correlation is extremely high.   The bond and S&P500 have moved in … Continue reading

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Why Arming Teachers Is A Really Dumb Idea (In Pictures)

Sometimes you need a crayon to illustrate a simple point.  We will use pictures. Where is your market? And one reason why we have this: Looks like the useful idiots in Washington are still taking their dumb-dumb pills.   Queen Victoria

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