A Strapped Consumer = A Slowing Economy

Rampant CRE Foreclosures Portend Something More Sinister Financial markets closed the week mixed with the Nasdaq rising +1.4% and closing at a record high thanks to the huge Nvidia beat on both top and bottom lines. The S&P 500 was flat on the week (+0.3%) while the Dow Jones, with its 606-point (-1.5%) dive on […]

Fed’s Dilemma – Hotter Inflation & a Cooling Economy + Why Inflation is so Hateful

Inflation was the main concern of markets this week. On Tuesday (March 12th) Consumer Prices (CPI) came in slightly hot, but within market expectations. As a result, the financial markets took the report in stride and equities rallied. The problem was Thursday’s Producer Price Index (PPI), an index that is a leading indicator of future […]

Despite Deteriorating Economics, Equity Markets at All-Time Highs

There were several important news events this week including the Fed’s January minutes. But this took a back seat to Nvidia’s blowout top and bottom-line numbers and its forward guidance which occurred after Wednesday’s (February 21st) market close. The equity market, which had been relatively flat on Tuesday and Wednesday, advanced more than 2% on […]

Markets Pay Little Attention to Emerging Data That is, Until They Do

The S&P 500 hit an all-time high on Thursday (January 25) on the heels of an unexpectedly robust +3.3% annualized growth rate of real GDP for Q4. Market expectations had been for a +2.0% print, and even the normally optimistic Atlanta Fed GDP Now model was only calling for +2.3% The chart shows the sources […]