S&P 500

There’s a big disconnect for traders. Everyone keeps telling Bloomberg's Richard Breslow that there's so much uncertainty out there that it's too dangerous to trade. They also assume every time we get yet another flailing gyration in a given day’s price action that someone knows something -- and it’s big.

The truth is, no one knows anything at the moment. There are enormous uncertainties on every continent and where the ball stops bouncing is anybody’s guess. And your guess is as good as the next guy’s.

Submitted by Lance Roberts via RealInvestmentAdvice.com,

What Drives Returns

A little over a year ago, John Coumarianos penned a very interesting note with respect to the view that it is just “volatility” is driving prices.

“The great economist John Maynard Keynes once said: ‘Practical men, who believe themselves to be quite exempt from any intellectual influence, are usually the slaves of some defunct economist.'”

After yesterday's speech by Janet Yellen which signaled a path of steady interest rate increases and was perceived as hawkish, the dollar rebounded, Asian shares slipped and government bond yields jumped to multi-week highs on Thursday.

Submitted by 720Global's Michael Lebowitz via RealInvestmentAdvice.com,

European shares decline led by a plunge in Pearson shares, S&P futures were modestly in the green as Asian and EM stocks gained. The dollar rebounded against most major currencies after retreating 1.3% on Tuesday to the lowest in a month following Trump's "strong dollar" comments and halted a seven-day drop against the yen.