There have been precious few opportunities to purchase U.S. stock weakness over the last seven months. Specifically, the smallest dips have reversed course quickly, always finding a way to grind higher. On the other hand, some exchange-traded vehicles along the more modest rung of the risk ladder have caught the attention of institutional buyers. Consider SPDR [...] [...more]
The S&P 500 has not merely been resilient in its six consecutive weeks of gains. The celebrated U.S. stock benchmark has been unstoppable in its 8.3% unrealized run-up. Granted, nearly everyone expects a period of mild selling activity (a.k.a. “a breather”). Indeed, history certainly suggests that unbridled enthusiasm usually gets a reality check or three. The [...] [...more]
How confident should you be about Democrats and Republicans reaching an accord on raising the debt ceiling? Confident enough. Don’t get me wrong. I always have my stop-limit orders protecting key ETF positions. It’s just that the bond market as well as the stock market both agree… a deal will get done. 10-year treasury yields are still offering a [...] [...more]
Higher beta sectors are responsible for pushing the popular U.S. stock benchmarks through the proverbial roof. Dow 11,000… done. S&P 500 reaching 1200 and beyond… check. Yet low beta sectors are not just underperforming, they’re being abandoned. Specifically, the low-risk trinity of Staples (XLP), Health Care (XLV) and Utilities (XLU) looks as though they’re being cast aside altogether. Through mid-day on [...] [...more]
