Business

By Robert Shiller, first published in the NYT

Oct. 19, 1987, was one of the worst days in stock market history. Thirty years later, it would be comforting to believe it couldn’t happen again.

Back in mid-July, BofA's chief investment strategist Michael Hartnett predicted that the "most dangerous moment for market will come in 3 or 4 months." Well, we are now "between 3 and 4" months since the forecast fate and the most dangerous moment we have experienced since then, ironically, is today's modest selloff on the 30 year anniversary of Black Monday. So looking back at his forecast, has Hartnett thrown in the towel on calls for a correction, and joined all the other BTFDers?

Via Dana Lyons' Tumblr,

While the S&P 500 his on an impressive string of new highs, a number of them have come on questionable breadth.

Earlier this week we sent this message to Premium and Sector Members and I wanted to share it with our viewership today.

Below looks at the Bank Index (BKX) over the past 20-years and why the Power of the Pattern feels this could become a very important price point for the bulls.

CLICK ON CHART TO ENLARGE

For the past several months, cities all across the country have been competing for the opportunity to host Amazon's second headquarters which promises $5 billion in capital investment and 50,000 new jobs over a period of time.  And now that the bids are in, we have the opportunity to review some of the staggering tax subsidies offered to one of Silicon Valley's biggest companies.