Market has High, High Hopes šŸŽµ

šŸ˜… Decelerating COVID.Ā DomesticĀ #COVID19Ā delta surge seems to be flattening. Investor optimism rising as fears of further restrictions or lockdowns hamperingĀ #COVIDRecoveryĀ ease. Hopes bolstered with FDA approving Pfizer vaccine as well. šŸ’ø Powell backs EOY tapering.Ā Fed Chair Powell supports tapering Fed purchases this year. Given all-time market highs, investors expected Fed support pullback, but were encouraged as Powell Read More

Cyclical Pullback on Uncertainty

šŸ“‰ Markets sink on Fed tapering.Ā Markets dropped in power hour Wed as Fed commentary indicated purchase tapering by end of year. Investors mostly shook off macro uncertainty in Afghanistan and ever increasingĀ #COVID19, but Fed minutes tipped the scales. šŸŒŠ. 4th wave rising.Ā #COVID19Ā cases and hospitalizations approaching 3rd wave levels. (Deaths still lower, but also lagging indicator.)Ā #COVIDRecoveryĀ trajectory Read More

Schrodinger’s Inflation? šŸ˜ø

šŸ’Ŗ More strong economic data.Ā Despite rising case,Ā #COVIDRecoveryĀ still strong as 12-month consumer price index grew 5.4% again in July.Ā #InflationFearsĀ tug ‘o war with another high inflation month, but, at the same time, not accelerating. ļøšŸ’øĀ  Yields keep rising.Ā 10-year treasury yields up another +4% last week, but as much as +9% Thursday before Friday’s -5%. pullback. #RisingYields resurgence Read More

Travel Recovery? āœˆļø

šŸ’°Yields rebounding.Ā #RisingYieldsĀ rebound up +4% rising as more strong economic data may accelerate Fed rate decision. Financials jumped +4% with overall S&P 500 up +1% for week. āœˆļø Travel strong?Ā Strong travel bookings boostingĀ #RevengeTravel. However, boost primarily driven by domestic as international, corporate and big city travel still muted. šŸ‡ØšŸ‡³ ‘Spiritual Opium’.Ā MoreĀ #ChinaTensionĀ as state run publication calls online Read More

China Shocks Market šŸ‡ØšŸ‡³

šŸ‡ØšŸ‡³Ā  China crackdown.Ā #ChinaTensionĀ rising as Washington relationship referred to as ‘dead end’. China cracking down particularly on Tech making investors extremely nervous. Pending M&A deal approvals likely to face higher scrutiny as well. šŸ“± Weak Big Tech earnings.Ā #BigTechĀ and growth names largely lower following weakerĀ #earningsĀ last week. Growth down over -1% while overall S&P 500 only slightly lower. Read More