Corporate Profits Inflation Adjusted has been falling as expected when I first published this chart. But unlike the first chart I have inflation-adjusted it this time to get a more accurate reading. Something we have not needed to do for decades. Before I continue can you chart corporate profits and like charts? Answer yes you can which is why I added the...
Japan1 is trading at a 33-year high, despite a challenging global macro backdrop. At 15x forward Price to Earnings (P/E) ratio, Japan has been trading at a valuation discount versus global peers, for a considerable period of time. We are finally starting to see a number of catalysts help narrow the wide valuation gap versus global peers – an improvement in...
Table of Content: 1. The World Bank 2. Jerome Powell 3. Mass Layoffs 4. Corporate Headline 5. Technical 1. The World Bank The World Bank has recently announced a slash in the forecast for global growth. This year's global growth forecast is reduced by nearly half, to just 1.7%, from its previous projection of 3%. It would be the third-weakest annual expansion...
Since credit has far greater potential to create systemic issues than does equity, corporate credit conditions are much more important to the Federal Reserve (Fed) than changes in equity prices. If you have interest in macro, monitoring and understanding the basics of corporate credit is a must have skill. If there is any one thing that might actually cause a Fed...
In 2008 we had a bunch of Perma bears. Gold is real money, founding fathers, banksters, who will buy the bonds, hyperinflation. Today the opposite, Govt/FED apologists, nothing is bad enough, it's transitory, worry how to spend it not how to pay for it. Wanna guess who is wrong? For every Bill Gross that says who will buy the bonds, there is an opposite Bill...
During several previous liquidity crisis in 2001,2008,2012, 2016 the investment grade corporate yields spread over treasuries hit 200+ bps ... right now at an average spread of 150 basis points, may suggest more pain ahead before capitulation is reached. In other words investment grade corporate bond yields may be still too low. Based on what we've seen during...
In this screencast and links below I expose what's going on in market manipulations. In essence large organisations - who shall remain nameless - are busy buying back their own stock in an attempt to stabilise Wall Street and other markets. This is likely to give small investors a sense of security that they should buy stock. Price - to the minds of the big...
Bullish on the pipe reversal pattern, where the chart makes a bottom with a sharp down candlestick followed by a sharp up candlestick. It is similar to a double bottom, except without all the candlesticks in between that makes a double bottom look the way it does.