💪 More strong economic data. Despite rising case, #COVIDRecovery still strong as 12-month consumer price index grew 5.4% again in July. #InflationFears tug ‘o war with another high inflation month, but, at the same time, not accelerating. ️💸 Yields keep rising. 10-year treasury yields up another +4% last week, but as much as +9% Thursday before Friday’s -5%. pullback. #RisingYields resurgence Read More
😷 Domestic COVID is back. After months of steadily declines, 🇺🇸 #COVID19 rising across cases, hospitalizations and deaths. Not 4th wave yet, but some counties already reimposing mask mandates. While primarily in unvaccinated areas, investors still spooked by stalling #COVIDRecovery. 💸 Is inflation really transient? Fed chair Powell reiterated transient inflation expectations after June’s 12-month CPI rose to +5.4%. #InflationFears getting louder Read More
🤷♂️ What market uncertainty? Investors largely shook off #InflationFears and #COVID19 resurgence sending S&P 500 for another green week. Growth rotation continues to lead market up. 🧐 Banks slide on falling yields. 10-year treasury yields slipped -10% through Thursday before rebounding +5% Friday. Bond investors likely buying up treasuries as macro uncertainty rising. Banks 🏦 dip along with rates. 🦠 Domestic cases rising Read More
💸 Rate bump in 2023? Fresh Fed commentary－(1) rate hike accelerating with potential double rate bump in 2023 and (2) 2022 bump likelihood increasing with dot plot up to 7 of 18 (up from 4 last month). S&P 500 ended down -2% for the week. 🤷♂️ Transient mindset benefitting Growth. Investors continue largely shaking off #InflationFears viewing high inflation Read More
🤷♂️ Inflation hits 5% in May. Beating last month’s 13-year high of 4.2%, 12-month Consumer Price Index (CPI) growth came in at 5% for May. Surprisingly, investors mostly shrugged off any #InflationFears as 10-year treasury yields also fell -6% over the week. 🤠 Growth rotation. With a transient inflation mindset leading to falling yields, Growth names surged last week Read More
💸 April inflation at 13-year high. April 12-month inflation rate exceeded 4% hitting a 13-year high. Confirming #InflationFears, S&P 500 fell -2% Wednesday. However, recovered losses by weekend following Fed indicating multiple months of data needed before reducing monetary support.
💨👟 Value rotation. With bubble fears climbing (aided by rising meme stock and joke #Crypto interest), heavy #Flight2Safety to kick off May. Value stocks up +3% MTD while Growth down slightly so far. Overall S&P 500 finished up +1%. 😰 Rising #InflationFears. Treasury Sec Yellen briefly tanked markets Tuesday saying interest rates needed to rise ‘a little bit to make sure Read More