CPI Was Tame; Now It’s Powell’s Turn
Hey There Income Hunter, It’s hard to believe that the volatility priced in for yesterday’s number would be realized … but it was. The rally was short lived as the market immediately took out the S&P 500 Index (Ticker: SPX) 4,100.51 high by a smidge and then made its way right back down to the […]
Major Macro Developments to Monitor
Hey There Income Hunter, Two major macro forces are building strength … 1. $80 trillion of non-bank, hidden-dollar debt puts the entire system at risk. The Bank for International Settlements (BIS), the central bank of central banks, put out a report last week stating that if the Fed allows even one systemically-important […]
The Day the Petrodollar Died
Hey There Income Hunter, It’s ironic to think that Don McLain’s American Pie documentary came out in 2022 – the same year we saw the … Day the Petrodollar Died. You’re probably familiar with McLain’s sprawling 1971 tune, a tribute to Buddy Holly, Ritchie Valens and “The Big Bopper” J. P. Richardson, who […]
Blackstone Asset Freeze Gives Bears New Life
Hey There Income Hunters, The market bears are firmly back in control as put buying and call selling have dominated this week. The catalyst for this vol ramp up was Blackstone’s (Ticker: BX) decision to limit redemptions in its popular real estate income trust, BREIT. You see, withdrawal requests in October exceeded the trust’s monthly […]
Stagflation Makes A Comeback
Hey There Income Hunter, In a shocking report released on Friday, average hourly earnings doubled month-to-month. Even as labor market participation rate remains at an all-time low. On top of that, legislation passed last week approved new contracts granting railroad workers 24% pay increases over five years from 2020 through 2024 and immediate payouts averaging […]
Major Shift in the Fed’s Influence
November 30 will be known as the day the market’s influence shifted from the Fed’s tightening cycle to economic recession. It is pretty incredible that on the same day that private payroll hiring was 63,000 less than expected and the slowest pace of hiring since January of 2021 … Plus, a day when the Chicago […]
A Powell Beatdown May Fail This Week
The boy who has been crying wolf for months may not be heard today. The market may have already gotten the Fed beatdown this week … On Monday the Fed’s Jim Bullard again stated that rates will remain high until inflation gets back to their 2% target … Are these guys kidding me? How many […]
Fed Hawks Bash Stocks
Hey There Income Hunter, I knew Federal Reserve leaders would not be happy about the stock market rally. Rallies ease the impact of their rate hikes and support higher inflation for longer. So like clockwork Powell sent out James Bullard and John Williams to sound the hawkish tone. A few Fed […]
A Look Under the Hood With 0DTE Options
Hey There Income Hunter, Tuesday was an interesting day in the SPY daily expiry options. All eyes have been on the crypto crisis and expectations of it hurting stocks. However, as I have been saying the option flows have not shown any signs of a trend. In fact, the market has been trading in a […]
Bank Coverup Spells Trouble for Housing
Hey There Income Hunter, The banks are up to their old accounting gimmicks again. And this time it could be a sign of how bearish they are on the housing market. Yes, internal signposts I’ve spotted are alerting us to a brewing financial system crisis. And it’s important for you to be […]