Brian Pretti CFA's picture

All the chatter from the Fed about interest rate levels, forward guidance, tapering, etc. is largely noise. In a consumption driven economy, wage growth is the accelerant of consumption growth, not rising equity and real estate prices through the illusory "wealth effect".

Jeffrey D Saut's picture

I will tell you there has only been one false signal from Dow Theory (DT) over the past 15 years and that was a false “sell signal” generated by the Flash Crash in May of 2010; and, that was quickly reversed with a “buy signal.”

Jeff Rubin's picture

The latest battleground for U.S. President Barack Obama’s so-called war on coal isn’t even in the lower forty-eight states. It’s across the border in British Columbia’s densely populated lower mainland where a recent proposal to...

Sheraz Mian's picture

The market seems to be cheering the surprisingly weak jobs report in the hope that it will lead to a more favorable Fed policy. But in order to reach that conclusion, you first need to believe this jobs read. And I find it extremely hard to believe it.

Bill Fleckenstein's picture

Mario Draghi came as close to the “full Monty” as he possibly could by cutting interest rates 10 basis points to a measly five basis points, and increasing the negative deposit facility rate to -20 basis points. In addition, he promised to begin buying about $400 billion worth of asset-backed securities in about a month.

Doug Short's picture

Today the Institute for Supply Management published its latest Non-Manufacturing Report. The headline NMI Composite Index is at 59.6 percent, up from last month's 58.7 percent and another record high for this relatively new indicator...

Chris Puplava's picture

Given the prior inflationary move seen earlier in the year, it is likely we should expect a moderation in economic momentum that has been building since Q1 of this year. Should growth moderate we are likely to see more economic releases surprise to the downside.

Marc Chandler's picture

After much fanfare, the ECB has surprised the market. It delivered a 10 bp cut in key rates and committed itself to a ABS/covered bond purchase scheme to start next month. The euro sold off, dragging down other European currencies, and sparked...

Sheraz Mian's picture

U.S. stocks will likely follow the lead from markets around the world, particularly in Europe, to respond positively to the reported truce between Russia and Ukraine. It isn’t clear at this stage whether we do finally have a deal or not...

Marc Chandler's picture

There has been a clear divergence since the start of the year. Briefly, in January, the eurozone reading rose above the U.S.. This has not happened before...