Authored by Mike Shedlock via MishTalk.com,
John Hussman’s report this week, Estimating Market Losses at a Speculative Extreme, has an interesting chart on Median price-to revenue ratios over time. Let’s dive in.
I added the dashed blue line for ease in comparison to the dot-com bubble peak. Here are some snips from Hussman.
The 9th record close in a row for The Dow (and 10th straight day higher - longest streak since Feb).
As one veteran trader exclaimed "holy smokes... never saw volume this low" -
This is the lowest aggregate S&P 500 e-mini Futs volume for this day in history since 2001...
This is easy...
As the trading week begins, traders are noticing that something has changed. Yes, it's quiet; yes, the Dow is higher; but markets, for now, have seen correlation regimes 'change' since the payrolls print struck on Friday - Stocks are flat, Bonds are down, but the dollar is up...big time.
While all eyes have been focused on the incessant rise in the price-weighted farce known as The Dow Jones Industrial Average, a funny thing happened in the 'real' market...
The S&P 500 went nowhere... 2474, 2473, 2473, 2470, 2477, 2478, 2475, 2472, 2470, 2476, 2478, 2472, 2477...
How unusual is this? Simple - it's never, ever (in 90 years of S&P history) happened before...
Since The Fed (et al.) began tinkering (red shaded box), markets have slowly (and now quickly) died.
Authored by David Stockman via The Daily Reckoning,
Approximately two months before the election on September 10th I locked down the final draft of my book, Trumped!
In the opening sentence I ventured the following opinion, which was most certainly not in the mainstream at the time:
FIRST THERE WERE 17. THEN LITTLE MARCO, LOW ENERGY JEB AND LYIN’ Ted were gone. At length, there was one. And now there is even a chance he may become President.