Prudent investors pay attention to money flows because that gives them an edge. Professionals already know they are competing with the best and the brightest on Wall Street and seek every edge they can get. However, sometimes the average investor forgets that simple fact. Just like a doctor cannot see
Global economic growth is slowing. The Organization for Economic Cooperation and Development (OECD) has cut its growth projection to 2.9% this year. Only four months ago, it was projecting 3.2% growth. The new projection is the lowest in a decade. Still, this business cycle has been unusually long and therefore
President Trump has called for the Federal Reserve’s “Boneheads” to cut interest rates. Now Trump has more ammunition against the Fed from the new plans of “Super Mario” — European Central Bank President Mario Draghi. Draghi is known as Super Mario for adopting extremely stimulative monetary policy to pull Europe
A deal could lead to faster economic and earnings growth, necessitating higher official interest rates from the Federal Reserve. U.S. stock market futures spiked as soon as the news hit that the U.S. and China would schedule high-level trade talks in October. My opinion does not count, but the opinion
A so-called megaphone top pattern in the U.S. stock market is gaining publicity — often with scary conclusions. Should you trim stocks based on this pattern? Let’s examine the issue with the help of a chart. Please click here for an annotated chart of S&P 500 ETF SPY, which mirrors the S&P
Federal Reserve Chairman Jerome Powell has come under increasing pressure from President Trump to cut interest rates by as much as 100 basis points. The stock market now expects Powell to bow to Trump. Wall Street’s consensus may be right — that the bubble in the stock and bond markets
First and foremost, I am politically agnostic. My sole job is to help investors. This column is neither for nor against President Trump. The Dow Jones Industrial Average DJIA would have been 10,000 points higher if President Trump had not done the “right” thing. Obama, Bush and Clinton should have done it,
It is no secret that President Trump watches the stock market. It is less well understood that he has an uncanny sense of stock market timing. Every time stocks seem poised for a big drop, he says something to reverse the tide. He then follows through with more statements to
While history does not always repeat, prudent investors should still be students of it. Something has happened now that should be understood in the right light. When it happened last, many investors lost about half the value of their portfolio. It was a common joke that 401(k)s had become 201(k)s.
The U.S. stock market stepped back from the cliff’s edge with a key reversal Wednesday. For today, the real question is “What’s next?” Let’s explore with the help of three charts. Please click here for an annotated intraday chart of S&P 500 ETF SPY. Please click here for a second annotated daily chart of S&P