Morning Comment: The stock market rally is a global one!



Well, we got off to a great start to December in the stock market with a better than 1% rally in the S&P 500 and Nasdaq indices, but we have to admit that it came on lower volume than we had on Monday’s decline...and breadth that was quite mediocre. Monday is usually the lowest volume day of a week, so the fact that it fell yesterday when the market was rising is a bit disappointing. As for the breadth, it was just 3 to 1 positive on the S&P...and just barely positive on the Nasdaq...which is somewhat disappointing as well.

Don’t get us wrong, these are not major disappointments. The stock market has obviously had a VERY nice run in recent weeks, so to experience action that is at least some-what less impressive should be seen as normal and healthy. However it does tell us that a further rise in the market is not going to be as strong as it had been in November...and it could/should be more uneven...at least for a little while. (Again...this would be normal.)

One development that WAS positive for the stock market actually came in a different market...the Treasury market. A lot of people have been worried about the fact that the stock market has been rallying on positive news on the vaccine front...which should help the economy next year...but these expectations on the economic front were not having an impact on the Treasury market........Well, that changed yesterday...as the yield on the 10-year note jumped from 0.83% to 0.93% by the close yesterday. This still left it slightly below the 0.96% high we saw in November, so we’re certainly not trying to say that yields are breaking out to the upside. However, this was a sharp one-day rise...so this move could/should help calm some ...

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Morning Comment: Gold & copper poised to diverge...in the other direction.


Well the last two weeks have played out very much like we thought they would. Two weeks ago, we got a “breather” in the market place...which allowed the market to work-off some of the overbought condition that had built up ...

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THE WEEKLY TOP 10


Quick note: With the Thanksgiving holiday this upcoming week, things should be pretty quiet. By midday on Tuesday, the activity in the marketplace will slow down considerably and thus the moves in the market will not be very compelling. They’ll ...

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Morning Comment: Gold Testing Important Support.

For the first time since the Roosevelt Administration, the stock market fell for the second day in a row yesterday. (Ok, that is a LITTLE bit of an exaggeration, but it sure seems like we haven’t had two down days ...

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Morning Comment: Commodities Poised for a Breakout???


The positive news on a vaccine out of Moderna yesterday fueled another nice rally in the stock market...as the DJIA, S&P 500, Russell 2000 and the Nasdaq all rallied strongly. (No, the Nasdaq did not rally as much as the ...

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Morning Comment: A Look at the Charts on Tesla (TSLA).


The action in the stock market was the mirror image of Monday’s action. That day, a big morning rally was reversed in the afternoon...and the market gave back much of its gains by the end of the day. Yesterday, a ...

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Morning Comment: Veteran's Day.....Masters Predictions.

Even though the S&P closed the day pretty much unchanged yesterday, it was still a wild day in the stock market yesterday. Despite that benign move in the S&P 500, the DJIA rallied almost 1% and the Russell rose 1.8%...while ...

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Bank stock traders: Remember, the bond market is closed tomorrow!

I just wanted to send out a very quick note about the bank stocks this afternoon. I have turned bullish on the group...especially with the break-out in the KBE. However, for those who like to trade quite actively...and like to ...

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Morning Comment: Can Banks & Small-caps Finally Outperform?


The domestic futures and the overseas markets are all trading substantially higher this morning...on the news that Notre Dame finally won an important football game...and the excitement surrounding this week’s Masters Golf tournament. Okay, okay...the fact that PFE announced that ...

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THE WEEKLY TOP 10


THE WEEKLY TOP 10


Table of Contents:

1) Our belief in a nice year-end rally remains intact.

2) However, next year will be much tougher for this very expensive market.

3) Many non-FAANG tech stocks actually have more momentum than ...

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Morning Comment: A


Whenever there are elections or primaries, we like to spend time flipping around and listen to what different networks are saying. Based on what we’ve heard over the past two nights, the support for Donald Trump from Fox News is ...

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Morning Comment: Sen. McConnell Helps the Rally


We agree with the consensus that says the likelihood we’ll get a split government once the final results are in from the election is the main reason the market rallied strongly yesterday...and why the futures are trading a lot higher ...

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