Keeping An Eye On Inflation

Here are a few of our favorite market internal indicators that are confirming the all-time highs in stocks.  The first one, the cumulative advance/decline line (breadth), is rising along with stock prices, a healthy sign. Second, high-yield bond spreads (the spread in...

Value Is Where You Find It

More and more investors think we are in an epic stock market bubble.  They may be right, but we won’t know until after the fact.  There are a few important differences between now and the dot.com bubble of 20 years ago.  First, 2000’s high valuations were based on...

Election Winners and Losers

Why has the stock market been so strong since Election Day?  In our view, the prospect of a Biden victory and a GOP Senate was not expected which is partially why we are seeing equity prices soar.  Add the good news that Pfizer and Moderna both announced very good...

The Bull and Bear Case for Stocks

Investors are entering third-quarter earnings season with bright expectations that this could propel the next leg of the stock market’s rally.  After all, analysts have been lifting estimates for the quarter – a move that goes against the norm.  Typically, earnings...