This is all that matters

BY ANDREW GIOVINAZZI

February 4, 2025

Yo Pit Crazies,

 

As I write this, Canada is now coming to the table to talk about the border.  Mexico did the same thing and we have a 30 day reprieve for the Big Tariff Bomb.  So much for the big bombshell on the Tariff situation.

 

Now we are back to the stuff that matters, earnings and interest rates. Bond prices were actually up on Monday.  What do traders want to see?  They want to see steady bond prices.  That is usually good for stock prices.

TLT 30 day chart with 1 min candles

The iShares Barclays 20+ year Government Bond ETF (Ticker: TLT) is a great proxy for bonds.  As big as the bond market it is, it does not push the stock market to new highs.  Bonds can crash stocks but won’t lead a bull market.

 

Huge Earnings Growth!

Palantir Technologies Inc (Ticker: PLTR) is growing like crazy.  Revenues are growing massively and the stock looks like it wants to run past $100. Growing revenue and earnings are what drives stock prices and PLTR is doing it in AI.

More big tech earnings this week should drive us back to all time highs.  What happens one day can be forgotten by the next.

 

Check out our webinar on Tariff Tantrums this morning as we line up the winners and losers.

 

To Your Trading Success,

 

AG

Andrew Giovinazzi

30-Year Trading Pro

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Andrew Giovinazzi

Andrew Giovinazzi

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About the Author

Andrew Giovinazzi

Andrew Giovinazzi

Former CBOE floor trader and CIO at Karman Line Capital. Author of ‘The Option Traders Hedge Fund’ with over 30 years of options trading experience.

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