fb
X
X
Tired?
Unfocused?
Off your game?

Read our free Dr K report on how to optimize your mind and body so you can boost your focus when trading the markets.
YES, SEND ME THE REPORT !
NO, I'M NOT INTERESTED
Your email will always remain private.

Market Lab Report - Gil's Take

My view of the market currently is a little more nuanced than the idea that the "bulls are back." The overnight action shows that despite the Senate passage of a $1.9 trillion stimulus bill, stocks are not rocketing higher across the board. Instead, we see interest rates move back towards last week's highs as the stimulus brings into focus the idea of "hot" economy. Are higher rates compatible with a higher market? I think they can be, but we would likely see more emphasis on stocks that are not high-PE or high PE-expansion names, namely stuff-stocks like industrial metals, agriculturals, materials, oil, etc. as well as re-opening plays. So I would look for a shift here if the market is going to move higher.

Treasury Secretary Janet Yellen will be speaking at 7:00 a.m. PST, 10 a.m. EST today, so watch for any change in the current sweet-talk regarding higher rates as indicative of "confidence in the economy." Ultimately, the Fed cannot allow rates to get too high, as this would create unbearable interest expenses for a national debt that is now hitting $29.3 trillion once this new bill gets past the House today or tomorrow. Stay alert to changes and shifts as the same old things may not repeat as major leaders.
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2021 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.
FOR OUR FREE MARKET LAB REPORT :
Copyright ©2021 MoKa Investors, LLC DBA Virtue of Selfish Investing.
All Rights Reserved.
privacy policy