Friday the 13th: The Final Chapter

The past few days have seen an escalation in the battle between market forces and Trump’s tweet-driven algos.  Trump and his minions are desperate to see stocks make new all-time highs and have issued a steady stream of breathless trade and tax-related pronouncements possessing little substance but great influence on the algos. The algos have, … continue reading →

PPI Beats Expectations

Continuing the string of data arguing against a rate cut, PPI and Core PPI both came in hotter than expected.  Core increased 2.3% from August 2018.Futures, which are in levitation mode after a sharp intraday recovery yesterday, barely noticed.  Virtually nothing has changed from yesterday’s forecast.  Though, we have an important EIA report coming out … continue reading →

Next Steps

With yesterday’s VIX algo-driven eruption in the rear view and this morning’s disappointing jobs report in hand, all attention now turns to the Fed.  Will they or won’t they cut rates?  And, if they do, will it top 25 bps? Consensus still seems to be for a 25 bps cut.  But, Powell will be pressed … continue reading →