finviz300x250_2

Lessons

Financial News

jb2


Archives

Terrifying US Pension Fund Charts

pensions

Pension funds in the US could be close to a collapse. There is an estimated $1.9 trillion shortfall in U.S. state and local pension funds because of low-interest rates and a sideways US stock market. Even stocks falling overseas is a problem for pension funds.

Credit Suisse published the chilling chart below on the funding (Read More….)

Stock Market Forecast For Week of September 26 2016

stock-market-news-lance-jepsen

On Wednesday, September 21, 2016, the FOMC left rates unchanged, and the vote was 7-3, with three dissents for a hike (George, Mester, Rosengren). Last week, the S&P 500 gained +1.2%, the DJIA added +0.8%, and the Nasdaq was +1.2% higher.

There is an increased probability of a rate hike in November or December which (Read More….)

Get Shorty Play Is On

get-shorty

Never underestimate the utter wickedness of institutional traders. The ‘Get Shorty’ trade is on. The way the trade works is that institutional traders stir up the bearish sentiment in the market by going out in the mainstream media and talking up doom and gloom.

In after-hours trading, they buy S&P futures causing the market to (Read More….)

3% GDP Growth For Q3 – What a Not Funny Joke

industrial-production-manufacturing

Both the Fed and Wall Street analysts are forecasting a 3% GDP growth rate for Q3. After yesterday’s release of many economic reports, I would put the GDP growth rate for Q3 at 1.5% at most. Let’s look at yesterday’s economic releases on the charts.

The NY Empire manufacturing index came in at -2%. That (Read More….)

Short Sellers Target Emerging Markets

emerging-markets-chart

Short sellers are targeting emerging market stocks. In last Saturday’s show, I blew up the bogus idea that emerging markets do better when U.S. markets are falling and you can watch that portion of the show here.

Check out how the Twiggs Money Flow is exploding higher on the Direxion Daily Emerging Markets Bear (Read More….)

Risk Parity Funds Plunging

usd

Risk parity funds are popular with institutional investors because the goal is to preserve capital in perpetuity, something they need to do for some of their pension funds, endowments, and foundations. A risk parity fund has a portfolio allocation that has a mixture of stocks and bonds to lower risk. Institutional investors may use defensive (Read More….)

Donald Trump Correct To Criticize Federal Reserve

donald-trump-federal-reserve

Donald Trump has correctly criticized the Federal Reserve for keeping interest rates low for Democrats. Yellen’s allegiance to Democrats is something I’ve been talking about for more than a year now.

Janet Yellen herself is a Democrat who was appointed by Obama. Remember how Yellen was questioned about why she was meeting with Democrats more (Read More….)

Shorting The S&P 500 With UVXY

high-low-index

I went short the S&P 500 today. More precisely, I went long UVXY.

Today’s upward move on the S&P 500 was a pathetic show of force from Bulls. Check out how the Twiggs Money Flow barely moved higher on the chart.

You can see just how pathetic the upward move was today on the (Read More….)

Stock Market Forecast For Week of September 12 2016

stock-market-forecast-9-10-2016

The increased volatility that we have been waiting for finally arrived last week as institutional traders clean house as they return from summer vacations. Corporate debt offerings surged as company’s looked to roll over financing costs ahead of a potential Fed rate hike by the end of the year. The August ISM Services reading hit (Read More….)