— It was a bit surprising to see the market rally into the Fed confab in Jackson Hole — Powell’s speech contained nothing that had not been said before and the “pain” that he is referring to is already being felt in certain inflated sectors. — Is a two percent long-rage inflation goal realistic /…
Tag: Fed
Are The Sellers Exhausted?
— When has being a seller into a well-anticipated event with negative implications for the market ever made any sense? — We have had 42 days full of hand-wringing and negative media to contemplate the July 27 Fed meeting … a for me the market has priced this in. — After all the higher rates, inflation, recession talk and extremely…
Should Biotech Be On The Critical List?
— In a little over a year the market has gone from sell ‘old economy’, companies that make something and earn money, to sell companies that don’t make things and earn money. — We are now at the stage where nobody cares … don’t buy anything whether it makes makes ‘things’ or money. Irrational pessimism on the tech/innovator sector…
Bubbles and Bear Markets: One size does not fit all!
— The Tech and Innovation bubble has burst — Investors heavily involved in this space are definitely in a bear market (a narrow bear market). — Cathie Wood for the defense — Words of wisdom from Morgan Stanley …Caveat Emptor — Parting thoughts The tech and innovation bubble has burst There is no question about it. A proxy…
Growth and Innovation: The Bloom Is off The Rose
— When you see the carnage in growth/tech/inovation it is easy to jump to wrong conclusions – DON’T! — The ARKK fund becomes the poster child for the unwinding of the bifurcated market — The negatives that face the market … the economy, Covid Omicron, the Fed, Inflation, Russia and China … Are they insurmountable? — Growth vs. Value. The…
If you think our current inflationary bump is just a hiccup, I’ve got a bridge for sale!
— There is mounting evidence that the current bump in inflation is just the beginning of a longer-term trend toward higher prices. — Higher labor costs, insourcing to secure our supply chain and exogenous pressures on raw materials will be the main culprits. — The media will have a field day since this supposed bad…
” … The Good News Is Already Baked Into Stocks.”
–Is it? Don’t buy this argument. –– A more elevated view and longer-term perspective yields an entirely different picture. –Stimulus and low interest rates world-wide seem under-appreciated as long-term drivers for the economy. –Using the analogy of baking a cake, we’ve just made the batter. The World According to Forsyth This was the take of…