My mentor Marty Zweig is often credited with the saying, “Don’t fight the Fed.” I met Marty in 1995. Not long after that, I heard the now-famous phrase for the first time. As I’ve alluded to before, Marty believed in using quantitative systems – or “models,” as he called them. He proved that they could …
The bull market lasted so long that a lot of folks forgot about this classic strategy… After all, stocks have trudged higher since the housing bust in 2009. And they’ve done so with incredible consistency. The S&P 500 Index has only seen a small number of corrections since 2010. Still, if you’ve been an investor …
The markets are stuck in neutral right now… The S&P 500 Index is down about 6% over the past few months. And the tech-heavy Nasdaq Composite Index has slumped even worse… It’s down around 12% over the same timeframe. Bonds are in neutral territory, too. And most global stocks aren’t performing better than U.S. stocks. …
I don’t blame you if you think we’re on the edge of a bear market… After all, interest rates on shorter-term U.S. Treasury notes just exceeded the interest rates on longer-term Treasury bonds last week. That hadn’t happened since 2006. The “inversion” was modest and brief. But importantly, this development is a proven recession indicator. …
The world is a scary place for investors right now… Russia’s war in Ukraine continues… Inflation is at a multidecade high… We’re still seeing supply-chain shortages… And the Federal Reserve is raising interest rates. With all of that uncertainty in mind, it’s tempting to bet against the market. But in reality… it makes more sense …
It seems like almost everything is connected to Russia’s war in Ukraine these days… Even somewhere as far away as Brazil. In this case, the connection is iron ore… You see, the top six countries in terms of iron ore production are Australia, Brazil, China, India, Russia, and Ukraine. That means iron ore is at …
On Friday, I explained that many investors fall into the “big picture” trap… The short of it is that these folks use the S&P 500 Index as their barometer for stocks. And when the broad market is headed up, they simply look for the “hot stock of the day.” Without even realizing it, investors taking …
Many investors began worrying about a crash earlier this year… And Russia’s invasion of Ukraine in late February amplified those fears. The S&P 500 Index lost as much as 13% from the beginning of 2022 through early March. That put the benchmark index in “correction” territory for the first time since the early days of …
Your suspicions are correct… The U.S. stock market is a wildly different animal than it was even just three months ago. That’s true in terms of both the fundamentals and the technicals. Behind this shift is a financial story that no one is telling right now. And it’s keeping me up at night. I can …
Always know which way the wind is blowing in the markets… Folks, if you don’t know that, you’re setting yourself up to fail. I worked as a mutual-fund manager for two decades before joining Chaikin Analytics. And as we discussed yesterday, I spent 18 of those years alongside Wall Street legend Marty Zweig. Importantly, Marty …
