Connect with us

Government

​​​​​​​Nasdaq Blasts Higher As Congress Confirms Biden’s Win

Commenting on Nasdaq blasting higher and Congress confirms Biden’s victory and today’s trading Gorilla Trades strategist Ken Berman said: Q3 2020 hedge fund letters, conferences and more ​​​​​​​Nasdaq Blasts Higher Today’s session…

Published

on

nasdaq Blast higher svn capital Stock Investing 1996 2021 Recovery PanAgora ESG Risk Free Rate Market Top First American Financial Inevitable Emotions

Commenting on Nasdaq blasting higher and Congress confirms Biden’s victory and today’s trading Gorilla Trades strategist Ken Berman said:

Get The Full Ray Dalio Series in PDF

Get the entire 10-part series on Ray Dalio in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues

Q3 2020 hedge fund letters, conferences and more

​​​​​​​Nasdaq Blasts Higher

Today’s session was yet another confirmation of the underlying bullish trend as investors gobbled up stocks, looking past the worries regarding the Democratic sweep. Shorts got annihilated yet again following only one bearish session on Monday, and even the relatively weaker Nasdaq managed to hit a new all-time high today, as the bullish stampede continues on Wall Street.

The main sectors diverged substantially yet again, but compared to yesterday’s session, the picture was much more promising for bulls. While most cyclical issues were notably weaker than on Wednesday, tech stocks, financials, and communication services more than made up for that, and the large-cap benchmarks fared well, with the Dow, the S&P 500, and the Nasdaq all hitting new all-time highs. Real estate stocks and utilities were hit hard by the surge in Treasury yields, which could also limit the rally in the sector.

Trump Pledges An Orderly Transition

The unprecedented and tragic disruption of yesterday’s confirmation of the electoral college vote wasn’t enough to stop the rally in stocks, and today, President Trump pledged an “orderly transition”, giving a major confidence boost for bulls. The objections raised by some Republican lawmakers were rejected and the vast majority of both chambers of Congress voted for the confirmation of the results. From an investment standpoint, the end of the uncertainty and the promise of another round of stimulus are both bullish catalysts, despite the remaining political risks.

The number of new COVID cases spiked above the pre-holiday levels both globally and in the U.S. in the past 24 hours. While the delayed reporting could be the main reason behind the spike, fears of a renewed surge in infections persist, and the number of hospitalizations and fatalities are also higher-than-ever. The new variant of the virus might be behind the accelerating spread in several European countries, and the World Health Organization (WHO) warned of a possible “tipping point” due to the current dynamics, which could weigh on risk assets in the coming weeks. 

Job Market’s Weakness

The government jobs report and especially non-farm payrolls will be at the center of attention tomorrow, in terms of economic releases. Despite the renewed coronavirus stimulus hopes the job market’s weakness could weigh on the market in the coming weeks, should the bearish ADP payrolls number be a good indication of the current trends. The consumer credit report will also come out in late trading while German industrial production and the Eurozone unemployment rate will highlight the overnight session.

Since the COVID bottom in March, solar stocks had probably their best period ever, almost tripling, on average compared to their pre-pandemic levels. The TAN (TAN, +5.4%) ETF, one of the most popular solar funds hit a new all-time high yesterday, as investors flocked into the score in the wake of the election results. While from a short-term technical perspective, the sector looks stretched, the ETFs breakout signals that the bull market in renewables could be one of the main themes of 2021.

The 10-year yield hit its highest level since June, above the widely watched 1% resistance, so the next leg higher in rates could already be under way. The 10-year yield remains well above its 200-day moving average, which is also turning higher for the first time since early 2019, suggesting a tectonic shift in the bond market. While long-term, rising yields could cause problems for stock investors the current trend of normalization is a sign of trust in the economic recovery, and rates could push higher together with equities in the coming months. Stay tuned!

Market Wrap

Index G/L Current level Year-to- date 50-day 200-day
Dow 212 31,041 1.4% 29,505 26,945
Nasdaq 327 13,067 1.3% 12,185 10,632
S&P 500 56 3,804 1.3% 3,610 3,263
Russell 2000 41 2,099 6.2% 1,826 1,527

Advancing issues outnumbered decliners by a 3-to-1 ratio on the NYSE today, with 293 stocks hitting new 52-week highs and only 2 stocks hitting new 52-week lows, while volume was well above average.

Price Action Gauge ******** (reading for 01/07: 81)

Price action improved significantly yet again today, and the broad push to new all-time highs was once again led by small-caps, meaning that the rally’s foundation remains rock solid.

Oversold/Overbought Gauge ******** (reading for 01/07: 47 Color: green)

The key momentum indicators turned higher across the board in the wake of today's rally., and the major indices are still overbought according to them, but investors remain hungry for risk.

Headlines

  • Stocks finished broadly higher with Nasdaq leading the charge as the domestic political tensions eased and the major indices all hitting new record highs
  • Congress confirmed Joe Biden’s election victory despite the objections and the violent riots in Washington
  • New jobless claims came in at 787,000 slightly lower-than-expected but the surge in the Challenger job cuts estimate suggest continued pressure on the job market
  • The number of new COVID infections hit a new record globally with the U.S. tally of confirmed cases crossing 21 million
  • Treasury yields hit new multi-month highs yet again, as investors bet on a swift, stimulus-fueled economic recovery

The post ​​​​​​​Nasdaq Blasts Higher As Congress Confirms Biden’s Win appeared first on ValueWalk.

Read More

Continue Reading

Government

Survey Shows Declining Concerns Among Americans About COVID-19

Survey Shows Declining Concerns Among Americans About COVID-19

A new survey reveals that only 20% of Americans view covid-19 as "a major threat"…

Published

on

Survey Shows Declining Concerns Among Americans About COVID-19

A new survey reveals that only 20% of Americans view covid-19 as "a major threat" to the health of the US population - a sharp decline from a high of 67% in July 2020.

(SARMDY/Shutterstock)

What's more, the Pew Research Center survey conducted from Feb. 7 to Feb. 11 showed that just 10% of Americans are concerned that they will  catch the disease and require hospitalization.

"This data represents a low ebb of public concern about the virus that reached its height in the summer and fall of 2020, when as many as two-thirds of Americans viewed COVID-19 as a major threat to public health," reads the report, which was published March 7.

According to the survey, half of the participants understand the significance of researchers and healthcare providers in understanding and treating long COVID - however 27% of participants consider this issue less important, while 22% of Americans are unaware of long COVID.

What's more, while Democrats were far more worried than Republicans in the past, that gap has narrowed significantly.

"In the pandemic’s first year, Democrats were routinely about 40 points more likely than Republicans to view the coronavirus as a major threat to the health of the U.S. population. This gap has waned as overall levels of concern have fallen," reads the report.

More via the Epoch Times;

The survey found that three in ten Democrats under 50 have received an updated COVID-19 vaccine, compared with 66 percent of Democrats ages 65 and older.

Moreover, 66 percent of Democrats ages 65 and older have received the updated COVID-19 vaccine, while only 24 percent of Republicans ages 65 and older have done so.

“This 42-point partisan gap is much wider now than at other points since the start of the outbreak. For instance, in August 2021, 93 percent of older Democrats and 78 percent of older Republicans said they had received all the shots needed to be fully vaccinated (a 15-point gap),” it noted.

COVID-19 No Longer an Emergency

The U.S. Centers for Disease Control and Prevention (CDC) recently issued its updated recommendations for the virus, which no longer require people to stay home for five days after testing positive for COVID-19.

The updated guidance recommends that people who contracted a respiratory virus stay home, and they can resume normal activities when their symptoms improve overall and their fever subsides for 24 hours without medication.

“We still must use the commonsense solutions we know work to protect ourselves and others from serious illness from respiratory viruses, this includes vaccination, treatment, and staying home when we get sick,” CDC director Dr. Mandy Cohen said in a statement.

The CDC said that while the virus remains a threat, it is now less likely to cause severe illness because of widespread immunity and improved tools to prevent and treat the disease.

Importantly, states and countries that have already adjusted recommended isolation times have not seen increased hospitalizations or deaths related to COVID-19,” it stated.

The federal government suspended its free at-home COVID-19 test program on March 8, according to a website set up by the government, following a decrease in COVID-19-related hospitalizations.

According to the CDC, hospitalization rates for COVID-19 and influenza diseases remain “elevated” but are decreasing in some parts of the United States.

Tyler Durden Sun, 03/10/2024 - 22:45

Read More

Continue Reading

Government

Rand Paul Teases Senate GOP Leader Run – Musk Says “I Would Support”

Rand Paul Teases Senate GOP Leader Run – Musk Says "I Would Support"

Republican Kentucky Senator Rand Paul on Friday hinted that he may jump…

Published

on

Rand Paul Teases Senate GOP Leader Run - Musk Says "I Would Support"

Republican Kentucky Senator Rand Paul on Friday hinted that he may jump into the race to become the next Senate GOP leader, and Elon Musk was quick to support the idea. Republicans must find a successor for periodically malfunctioning Mitch McConnell, who recently announced he'll step down in November, though intending to keep his Senate seat until his term ends in January 2027, when he'd be within weeks of turning 86. 

So far, the announced field consists of two quintessential establishment types: John Cornyn of Texas and John Thune of South Dakota. While John Barrasso's name had been thrown around as one of "The Three Johns" considered top contenders, the Wyoming senator on Tuesday said he'll instead seek the number two slot as party whip. 

Paul used X to tease his potential bid for the position which -- if the GOP takes back the upper chamber in November -- could graduate from Minority Leader to Majority Leader. He started by telling his 5.1 million followers he'd had lots of people asking him about his interest in running...

...then followed up with a poll in which he predictably annihilated Cornyn and Thune, taking a 96% share as of Friday night, with the other two below 2% each. 

Elon Musk was quick to back the idea of Paul as GOP leader, while daring Cornyn and Thune to follow Paul's lead by throwing their names out for consideration by the Twitter-verse X-verse. 

Paul has been a stalwart opponent of security-state mass surveillance, foreign interventionism -- to include shoveling billions of dollars into the proxy war in Ukraine -- and out-of-control spending in general. He demonstrated the latter passion on the Senate floor this week as he ridiculed the latest kick-the-can spending package:   

In February, Paul used Senate rules to force his colleagues into a grueling Super Bowl weekend of votes, as he worked to derail a $95 billion foreign aid bill. "I think we should stay here as long as it takes,” said Paul. “If it takes a week or a month, I’ll force them to stay here to discuss why they think the border of Ukraine is more important than the US border.”

Don't expect a Majority Leader Paul to ditch the filibuster -- he's been a hardy user of the legislative delay tactic. In 2013, he spoke for 13 hours to fight the nomination of John Brennan as CIA director. In 2015, he orated for 10-and-a-half-hours to oppose extension of the Patriot Act

Rand Paul amid his 10 1/2 hour filibuster in 2015

Among the general public, Paul is probably best known as Capitol Hill's chief tormentor of Dr. Anthony Fauci, who was director of the National Institute of Allergy and Infectious Disease during the Covid-19 pandemic. Paul says the evidence indicates the virus emerged from China's Wuhan Institute of Virology. He's accused Fauci and other members of the US government public health apparatus of evading questions about their funding of the Chinese lab's "gain of function" research, which takes natural viruses and morphs them into something more dangerous. Paul has pointedly said that Fauci committed perjury in congressional hearings and that he belongs in jail "without question."   

Musk is neither the only nor the first noteworthy figure to back Paul for party leader. Just hours after McConnell announced his upcoming step-down from leadership, independent 2024 presidential candidate Robert F. Kennedy, Jr voiced his support: 

In a testament to the extent to which the establishment recoils at the libertarian-minded Paul, mainstream media outlets -- which have been quick to report on other developments in the majority leader race -- pretended not to notice that Paul had signaled his interest in the job. More than 24 hours after Paul's test-the-waters tweet-fest began, not a single major outlet had brought it to the attention of their audience. 

That may be his strongest endorsement yet. 

Tyler Durden Sun, 03/10/2024 - 20:25

Read More

Continue Reading

Government

The Great Replacement Loophole: Illegal Immigrants Score 5-Year Work Benefit While “Waiting” For Deporation, Asylum

The Great Replacement Loophole: Illegal Immigrants Score 5-Year Work Benefit While "Waiting" For Deporation, Asylum

Over the past several…

Published

on

The Great Replacement Loophole: Illegal Immigrants Score 5-Year Work Benefit While "Waiting" For Deporation, Asylum

Over the past several months we've pointed out that there has  been zero job creation for native-born workers since the summer of 2018...

... and that since Joe Biden was sworn into office, most of the post-pandemic job gains the administration continuously brags about have gone foreign-born (read immigrants, mostly illegal ones) workers.

And while the left might find this data almost as verboten as FBI crime statistics - as it directly supports the so-called "great replacement theory" we're not supposed to discuss - it also coincides with record numbers of illegal crossings into the United States under Biden.

In short, the Biden administration opened the floodgates, 10 million illegal immigrants poured into the country, and most of the post-pandemic "jobs recovery" went to foreign-born workers, of which illegal immigrants represent the largest chunk.

Asylum seekers from Venezuela await work permits on June 28, 2023 (via the Chicago Tribune)

'But Tyler, illegal immigrants can't possibly work in the United States whilst awaiting their asylum hearings,' one might hear from the peanut gallery. On the contrary: ever since Biden reversed a key aspect of Trump's labor policies, all illegal immigrants - even those awaiting deportation proceedings - have been given carte blanche to work while awaiting said proceedings for up to five years...

... something which even Elon Musk was shocked to learn.

Which leads us to another question: recall that the primary concern for the Biden admin for much of 2022 and 2023 was soaring prices, i.e., relentless inflation in general, and rising wages in particular, which in turn prompted even Goldman to admit two years ago that the diabolical wage-price spiral had been unleashed in the US (diabolical, because nothing absent a major economic shock, read recession or depression, can short-circuit it once it is in place).

Well, there is one other thing that can break the wage-price spiral loop: a flood of ultra-cheap illegal immigrant workers. But don't take our word for it: here is Fed Chair Jerome Powell himself during his February 60 Minutes interview:

PELLEY: Why was immigration important?

POWELL: Because, you know, immigrants come in, and they tend to work at a rate that is at or above that for non-immigrants. Immigrants who come to the country tend to be in the workforce at a slightly higher level than native Americans do. But that's largely because of the age difference. They tend to skew younger.

PELLEY: Why is immigration so important to the economy?

POWELL: Well, first of all, immigration policy is not the Fed's job. The immigration policy of the United States is really important and really much under discussion right now, and that's none of our business. We don't set immigration policy. We don't comment on it.

I will say, over time, though, the U.S. economy has benefited from immigration. And, frankly, just in the last, year a big part of the story of the labor market coming back into better balance is immigration returning to levels that were more typical of the pre-pandemic era.

PELLEY: The country needed the workers.

POWELL: It did. And so, that's what's been happening.

Translation: Immigrants work hard, and Americans are lazy. But much more importantly, since illegal immigrants will work for any pay, and since Biden's Department of Homeland Security, via its Citizenship and Immigration Services Agency, has made it so illegal immigrants can work in the US perfectly legally for up to 5 years (if not more), one can argue that the flood of illegals through the southern border has been the primary reason why inflation - or rather mostly wage inflation, that all too critical component of the wage-price spiral  - has moderated in in the past year, when the US labor market suddenly found itself flooded with millions of perfectly eligible workers, who just also happen to be illegal immigrants and thus have zero wage bargaining options.

None of this is to suggest that the relentless flood of immigrants into the US is not also driven by voting and census concerns - something Elon Musk has been pounding the table on in recent weeks, and has gone so far to call it "the biggest corruption of American democracy in the 21st century", but in retrospect, one can also argue that the only modest success the Biden admin has had in the past year - namely bringing inflation down from a torrid 9% annual rate to "only" 3% - has also been due to the millions of illegals he's imported into the country.

We would be remiss if we didn't also note that this so often carries catastrophic short-term consequences for the social fabric of the country (the Laken Riley fiasco being only the latest example), not to mention the far more dire long-term consequences for the future of the US - chief among them the trillions of dollars in debt the US will need to incur to pay for all those new illegal immigrants Democrat voters and low-paid workers. This is on top of the labor revolution that will kick in once AI leads to mass layoffs among high-paying, white-collar jobs, after which all those newly laid off native-born workers hoping to trade down to lower paying (if available) jobs will discover that hardened criminals from Honduras or Guatemala have already taken them, all thanks to Joe Biden.

Tyler Durden Sun, 03/10/2024 - 19:15

Read More

Continue Reading

Trending