April 26, 2023 Although I am not a professional auto analyst, and this is in no way investment advice, I continue to believe the Auto Sector, of GM ( ), F( ) and TSLA ( ) could be a sink hole for investors in 2023. On Tuesday, General Motors (GM) reported an 18.5 percent drop…… Continue reading Still Negative on the Auto Sector
Tag: Federal Reserve
The Storm Ahead
April 25th 2023 Here we go again…..Once again, Speaker McCarthy and the extreme wing of the House GOP, threatens to allow the United States to default on its financial obligations, unless President Biden and the Senate agree to his political blackmail. Once again we are being taken to the edge of the financial cliff. After…… Continue reading The Storm Ahead
Time to Leave the Xmas Party?
Now that Fed Chairman Powell has made a “mini” pivot in his previous hawkish statements about coming interest rates hikes, is it time to join the recent rally? It is my inclination that those who are looking for a “Santa Claus” year-end rally, might be left with empty stockings hanging on their fireplaces, as the…… Continue reading Time to Leave the Xmas Party?
At The Top?
August 28, 2022 Friday’s sharp 1,000 point decline was triggered by Fed Chairman Powell’s brief, but pointed, “inflation fighting”comments at the annual Jackson Hole, Wyoming economic meeting of the world’s financial elite. Fighting Inflation was job number one, for the Fed at this time, said Powell, even if it leads to some short term economic…… Continue reading At The Top?
Recession Ahead?
July 26th, 2022 As the markets await the Federal Reserves decision today on whether to make a 3/4 point increase in short term interest rates, to contain inflation, or something more significant, like a full 1% increase, investors should consider this question. Are we facing a recession in the coming months? One technical indicator that…… Continue reading Recession Ahead?
China’s Slowing Economy
More and more economic reports that China’s “zero tolerance” covid response policy is causing a major drag on business activity in China. In addition, the bursting of the property bubble several months ago, which accounts for about 30% of China’s Gross Domestic Product (GDP) is exposing the fact, that a great deal of China’s growth…… Continue reading China’s Slowing Economy
Monday’s Bounce
The stock market staged a strong rally on Monday, May 23rd, 2022 on the news that JP Morgan bank has increased the amount of interest income it projects it will receive this year because of rising interest rates. Of course, that positive factor may be offset by the increasing level of loan defaults and loan…… Continue reading Monday’s Bounce
At The Bottom or More Pain Ahead?
Despite a late surge on Friday, the stock market had its 7th weekly decline. and the market indexes are close to breaking the closing lows of months ago. Is this the time to think about “dipping your toes into the market?” Maybe, but I don’t believe we have seen the panic selling yet that usually…… Continue reading At The Bottom or More Pain Ahead?
China plans to throw 3 Trillion Dollars to Save Economy
As China’s economy implodes because of the debt buildup over the years, which cannot now be sustained, combined with the covid lockdowns in the major cities, can they solve the potential collapse by creating more debt? It is looking like China’s economy has been built on unsustainable debt levels. In addition, the Chinese authorities are…… Continue reading China plans to throw 3 Trillion Dollars to Save Economy
New Lows Ahead?
After two days of market rally based on the hope that inflation forces might be subsiding, Target-TGT- reports disappointing earnings before the market opens, and declines almost 25%. At the same time the Dow drops almost 400 points at the opening for trading. All of sudden market participants wake up to the fact that inflation…… Continue reading New Lows Ahead?