CWS Market Review – February 16, 2018

Feb 16 12:02 2018 Print This Article

“Sometimes the hardest thing to do is to do nothing.” – David Tepper

Don’t be fooled, the storm hasn’t passed. Sure, stocks bounced back this week, and that’s nice to see. But mark my words–the bears will be back.

The big news this week, outside the stock bounce, was the CPI report. On Wednesday, we learned that January had the largest increase in “core” prices in nearly 13 years. Is inflation finally on its way back? For now, call me a doubter, but we’ll look at what this means for us and our portfolios.

The bond market seems to be taking inflation seriously. This week, the 10-year yield broke above 2.9% for the first time in four years, and the one-year came close to cracking 2% for the first time in nearly a decade. Do you realize what this means? Things are starting to look…normal. Dear Lord! Compared to where we’ve been, normal is downright strange. Consider that in October 2014, the one-year was yielding a microscopic 0.09%.

Read More

About Article Author

Crossing Wall Street

As an experienced fund manager, Eddy Elfenbein created Crossing Wallstreet to help investors avoid the mistakes that separate successful investors made. The key to doing well on Wall Street is actually very simple: Buy and hold shares of outstanding companies. But too many investors never learn this valuable lesson. He gives investors his free and unbiased view of the market. Eddy analyze's dozens of companies every week and is always looking over income statements and balance sheets. He's spent several years collecting a list of the best companies to own. His buy list is on Crossing Wallstreet. All of the information on this site is free and unbiased.

  Categories:

Related Items

October 16, 2018

Trump mouthed off about the Fed again: U.S. President Donald Trump heaped more criticism on the Federal Reserve in an interview with Fox Business Network on Tuesday, extending his discontent beyond its chairman, Jerome Powell, whom he has frequently critiqued in public. “My biggest threat is the ...

Beware of the debt binge

A decade of low interest rates has given companies, governments and households an excellent opportunity to cheerfully load up debt – until now. As interest rates rise and are projected to continue to do so in most major economies over the next three years, higher interest costs may soon send a st ...

How to estimate dividend growth and total returns using Josh Peters’ Dividend Drill Return Model [Example & Spreadsheet]

Disclosure: Some of the links below are affiliate links (AL), meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase. See disclaimer. “Dividend Yield + Dividend Growth = Prospective Return” Josh Peters, The Ultimate Dividend Playbook (AL), Ch ...

Will the global stock sell-off continue?

It was yet another week in which I felt like we lived 100 weeks. Of course the biggest event was the stock market sell-off. U.S. stocks led what became a global sell-off, which slowed and actually began to reverse on Friday. The key question on investors’ minds is: Is this over? Or will stocks lo ...

Welcome to 'Analyzing India'!

I seize this opportunity to welcome you all to this Blog "Analyzing India". It is beyond all doubts that India remains one of the most important global markets. Out of all the Emerging Markets (EMs), the world's largest democracy certainly remains the most promising one. As a brief introduc ...

You just know that something good is going to happen

Cloudbusting: you  just know that something good is going to happen   US markets In the span of a mere 24 hours two of my most pressing question may have been answered, correctly, can the anomalously robust US equity market hang on in the face of mounting global risks? And are we entering a perio ...

Revlon Makes A Base For A Fourth Quarter Makeover

Revlon (REV) showed up on the 52 week high scan today. On the chart there were some intra-week moves to higher levels but based on close only daily data, Revlon is pushing up. What is really important is the relative strength of Revlon. While the overall market was dropping quickly, Revlon stock ...

GBP/USD – British pound pushes above 1.32 as wage growth rises

GBP/USD has gained ground in the Tuesday session. In the North American session, the pair is trading at 1.3198, up 0.34% on the day. On the release front, the focus was on British job numbers. Wage growth climbed 2.7%, edging above the estimate of 2.6%. The unemployment rate remained unchanged at 4 ...

Live FX market analysis – 16 October 2018 (Video)

It’s been another turbulent week in FX markets with last week’s sell-off suitably spooking investors, Saudi Arabia causing a stir following allegations of murder at its embassy in Turkey, Brexit talks stalling and Italy risking the wrath of the European Commission after submitting its budget. ...