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Analysis

How close SPY top?

S&P 500 did retrace some of Thursday‘s decline, providing opportunity to cash in swing gains on the long side, and as well to benefit mightily in intraday terms via S&P 500 and Russell 2000 intraday shorts.

The sectoral view is however most insightful, and if you hadn‘t reviewed Friday‘s premarket video talking this key shift (great for explaining the sectoral change and yields path repercussions), please do so as that‘s quite important and connected to what I discussed at length in today‘s gold, silver and dollar longer-term outlook video.

For all the gloom Thursday‘s data caused, would you think the real economy is heading into a recession. For these reasons I don‘t think so – if I had to limit myself to a couple only. Those rising yields though would one beautiful day put a check to the improving economy, not to say force a distinct stock market correction before that – clients will know first, and you do also know what I roughly think about S&P 500 performance during Jan-Feb period in light of not only the Fed being less prone to cut.

 

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