INANE Market reaction to Interest Rates

As the world adjusts to the Ukrainian Invasion, the stock market was recovering and the Small-Mid Cap stocks were showing strong relative strength.  Until yesterday, when FED Chairman Jay Powell stated the obvious about raising the FED Funds Rate- “it is appropriate to be moving a little more quickly.” In typical kneejerk reaction, the MarketsContinue reading “INANE Market reaction to Interest Rates”

Sky is falling as interest rates rise

Happy New Year The stock market is starting out the year as it will likely end…volatile and profitable. Today there was a continued sell off in the Market as the 10 Year Treasury rose above 1.8%.  I’m not sure why rising interest rates are such a surprise to anyone.  Despite the volatility, quality companies areContinue reading “Sky is falling as interest rates rise”

FED new policy…same as the old policy

I know it’s fashionable to be worried about the stock market.  I’m not. One of the main emotional drivers is that the Federal Reserve has tightened its monetary policy and that interest rates are going up. Attached is a chart of the FED Funds rate going back to 1954.  The RED line indicates estimated interestContinue reading “FED new policy…same as the old policy”

FED policy shift PANIC…buying opportunity?

Hopefully you’re enjoying the start of the summer and not paying attention to the latest Media drama that’s spinning a false narrative about a hawkish shift in the Federal Reserve’s interest rate policy. This week’s scheduled FED FOMC meeting was touted as a lynchpin event for managing inflationary pressures.  Legendary commodity trader Paul Tudor JonesContinue reading “FED policy shift PANIC…buying opportunity?”

February Tech Unwind- buying the dip

The Tech Unwind and the Rotation out of Stay-at-Home stocks accelerated this week with the NASDAQ declining 4% and dropping below its 50dma; while the S&P 500 absorbed some of the buyers, thus faring better, down only 2.5% and holding at its 50dma. Because of the underlying economic data, and recent stock market price action,Continue reading “February Tech Unwind- buying the dip”