Earlier we showed why, one day after JPM said that "the regime of buying the dips might be over and selling any rallies might be the new one", another major bank, this time Citigroup, said that after six years of outperformance, "fading EPS momentum and rising Fed funds mean that... we cut the US to Underweight."
Everyone knows the world's foremost Wall Street meteorologist, and sometime Deutsche Bank economist, Joe LaVorgna.
For those who are unfamiliar, Joe is the person who in 2014 blamed every. single. negative. data point on the weather.
Joe is also the economist who famously lost a forecasting face-off with Groundhog Phil.
But most notably, Joe is Wall Street's biggest permabull.
Or was.
Submitted by Lance Roberts via RealInvestmentAdvice.com,
In the last “Technical Update” I discussed the outlook for 2016 (you can also get the full version here) and the risks that lay ahead as we approach the end of the first half of the full market cycle.
On Monday, the Riksbank said it would “instantly intervene” in the FX market in the event ongoing krona strength ends up imperiling Sweden’s inflation target.
Despite the blustering propaganda from CNBC's Phil LeBeau, it appears the Auto-sales (and massive inventory build) party is over in America. December US domestic auto sales SAAR printed 13.46 mm - the lowest in 6 months (missing expectations of 14.15mm by the most since November 2008). With non-revolving credit growth slowing in December, and inventories at record highs, the wheels just fell off the credit-fueled auto 'recovery'.
Car sales just tumbled:
This is the worst second-half of a year since 2008...