Tag Archives: Markets
Markets
The Stock Market Thinks the Fed Is Done Hiking
The Stock Market Thinks the Fed Is Done Hiking
Posted By Jim Bianco
We believe the stock market's 7% rally since Wednesday can be attributed in large part to a belief that the Fed is done hiking. If the Fed pushes back on this notion in any way, it will not sit well with the stock market.... Read More
Markets
A History of Pressuring the Fed
A History of Pressuring the Fed
Posted By Jim Bianco
While we like to think presidential criticism of the Fed is somehow new, it is actually rather common.... Read More
Markets
Volume Is Not Low!
Volume Is Not Low!
Posted By Jim Bianco
Do not fall into the trap of thinking this holiday season's market gyrations are just noise by assuming volume is low. In reality, this past week has been one of the heavier volume weeks of the year.... Read More
Markets
Is it All on the Fed?
Is it All on the Fed?
Posted By Jim Bianco
Jim was on CNBC yesterday talking about the Fed's use of the term automatic pilot and why the market rejected this approach.... Read More
Markets
Credit Still Trades as an Index
Credit Still Trades as an Index
Posted By Jim Bianco
High Yield investors continue to rely on index products like ETFs, CDX and put options to hedge positions instead of selling high yield bonds. This represents a risk as the bonds that make up these indices are too different to assume they can trade as one. When stresses rise enough, these bonds could go their separate ways, making index level strategies ineffective.... Read More
Markets
Money Leaving Active Managers
Money Leaving Active Managers
Posted By Jim Bianco
Money is leaving active managers, but not passive investments. This is hurting the stocks of asset managers.... Read More
Markets
Have the Markets Finally Forced the Fed to Rethink its Policy?
Have the Markets Finally Forced the Fed to Rethink its Policy?
Posted By Jim Bianco
Fed watching may have become a sport once again. If yesterday's massive rally was due to a perceived belief that the Fed has caved, the markets will be looking for affirmation from Fed officials. If traders don't hear the right words soon, we would expect the declines to continue. ... Read More
Markets
This Is What Happens in a Bear Market
This Is What Happens in a Bear Market
Posted By Jim Bianco
Yesterday's surge of 4.96% in the S&P 500 was one of the 20 best days in the post-World War 2 period. Unfortunately, the vast majority of these days occur in a bear market and the average loss over the ensuing year is 15%.... Read More
Markets
The Decline Stops When Everyone Stops Finger-Pointing
The Decline Stops When Everyone Stops Finger-Pointing
Posted By Jim Bianco
As the stock market's decline reaches historic proportions, The New York Times blames Trump and The Wall Street Journal blames the Fed. This decline stops when everyone stops playing the blame game and starts doing their part to stop it.... Read More
Markets
Are We Creating a Recession?
Are We Creating a Recession?
Posted By Jim Bianco
Expansion is the natural state of an economy. Recessions happen because something breaks. We examine some of the main ingredients involved in past recessions.... Read More
Markets
The Fed Is Not Worried About the Market, Is This a Problem?
The Fed Is Not Worried About the Market, Is This a Problem?
Posted By Jim Bianco
Powell downplayed the stock market correction at yesterday's meeting.... Read More
Markets
When Stocks Make December Lows, The Following Year Is Not Pretty!
When Stocks Make December Lows, The Following Year Is Not Pretty!
Posted By Jim Bianco
It is unusual for the stock market to make new lows in December, especially in the second half of December. This is adding to the anxiety on Wall Street and does not bode well for next year.... Read More
Markets
Public and Spending Policy More Worrying Than Trade
Public and Spending Policy More Worrying Than Trade
Posted By Ben Breitholtz
Public and spending policy uncertainties are on the rise, not helped by turmoil surrounding Trump. Unlike trade, concerns of the future of public and spending policies are denting growth outlooks and instigating market volatility.... Read More
Markets
Everyone Is Shouting ‘Policy Mistake!’
Everyone Is Shouting ‘Policy Mistake!’
Posted By Ben Breitholtz
Fears of a Fed policy mistake have burst to levels witnessed during the yuan devaluation and global weakness of September 2015.... Read More