Have Speculators Reached a Fever Pitch?

2023-06-01T20:11:33+00:00May 31st, 2023|Categories: INVESTMENT|

Executive Summary Recent market movements attributable to “AI” (artificial intelligence) are reminiscent of the 1990’s “.com” era. Recently, Nvidia, a graphics processor manufacturer, reported a fiscal first quarter earnings drop of 20% (year-over-year) with revenue down 13%. Yet the stock soared (see first chart below) because of [...]

Has the Bear Market Ended?

2023-05-23T18:36:40+00:00May 23rd, 2023|Categories: INVESTMENT|

Executive Summary After losing around 34% throughout 2022, the Nasdaq 100 index has bounced nearly 30% off the lows. Most of this ramp is due to eight stocks, listed below with their corresponding P/E ratios, along with the return of fear of missing out (fomo). These stocks [...]

How is the Consumer Faring?

2023-05-16T23:57:14+00:00May 16th, 2023|Categories: INVESTMENT|

Executive Summary After over a decade of zero-interest rate policy, a pandemic, and massive government stimulus, inflation finally arrived with a vengeance on consumers.  In the first graph, the University of Michigan Consumer Sentiment Survey reveals consumers do not feel good about the economy. It is at [...]

Has the U.S. Entered a Vicious Circle?

2023-05-09T21:19:25+00:00May 9th, 2023|Categories: INVESTMENT|

Executive Summary Last week’s Federal Funds Rate increase of .25% brings the rate over 5%, all part of the Federal Reserve’s fight to reduce inflation. The second graph shows the corresponding increases in Treasury Security rates. With the U.S. National debt now at $31.7 trillion, interest expense [...]

Is the Stock Market Strong?

2023-05-02T17:28:00+00:00May 2nd, 2023|Categories: INVESTMENT|

Executive Summary While the S&P 500 has recovered some of its 2022 losses, do not be fooled into thinking all is well. Eight stocks including Facebook (Meta), Apple, Amazon, Netflix, Google (Alphabet), Microsoft, Nvidia and Tesla are responsible for 100% of the positive return so far this [...]