Chris Puplava's picture

Latest net foreign inflows to U.S. markets came in the highest on record as incoming data suggests U.S. economic growth to accelerate. The Russell 2000 and the junk bond market also appear to be stabilizing.

FS Staff's picture

As outlined on January 11th, we believed this year would again defy bearish forecasts and see instead: a positive gain for U.S. stocks, a strengthening dollar, lower commodity prices, and improving U.S. economic growth. Here’s how things have played out so far.

Chris Puplava's picture

The US stock market has displayed a strong rally off the October lows and has seasonal tailwinds at its back. However, near-term caution may be advised since we are starting to see some negative divergences in market breadth and the credit markets, suggesting a pause or pullback may be in the works.

Chris Puplava's picture

It's always a good idea to periodically take a look at what the foreign community is doing in terms of net US equity purchases. The reason lies in the fact that they tend to buy at tops and sell at bottoms and can serve as a contrary indicator...

Cris Sheridan's picture

The persistent decline in the price of oil and commodities from mid-year until now has caught investors by surprise. Many market observers thought there was a $100 floor under Brent crude based on technical and fundamental supply-demand factors. Once that price level was broken...

Chris Puplava's picture

Given European growth is expected to decline well into 2015 we are likely to see another round of the Euro crisis occur which could derail strong bullish seasonal strength the U.S. market typically sees in the last two months of the year.

FS Staff's picture

Gary Dorsch of Global Money Trends expects the Dow and S&P 500 to hit 18,000 and 2100, respectively, between now and the end of January on strong seasonal market strength and a revived yen carry trade.

FS Staff's picture

Charles Hugh Smith from OfTwoMinds.com says Fed policy and its direct influence on wealth inequality in the US has now become a mainstream issue; Russell Napier says to expect another deflationary shock in the next couple years followed by a massive reflation by China...

Chris Puplava's picture

Leading up to the September peak in the markets we were seeing new highs in the market being met by smaller and smaller spikes in new 52-week highs. This indicated market breadth was deteriorating and we were on shaky ground. However, since the October lows we've now seen...

FS Staff's picture

What would you say to the frequent criticism from listeners that you are too “Pollyanna” on the markets and the economy? Jim Puplava: "To be honest, I began to receive this criticism on a regular basis after I wrote The Great Reflation..."

Quantcast