PPI Confirms Inflation Troubles

PPI just confirmed what CPI declared yesterday: Despite official White House discourse, there is inflation.Of course, it’s very clear that food, energy and trade services are the primary drivers.  Without them, PPI is as low as it was in Aug 2017.As a reminder, when Aug 2017 PPI was announced, the 10Y was about 2.1% versus … continue reading →

Update on COMP: Dec 7, 2018

Don’t look now, but COMP is approaching our 6760 target.  As we discussed on Oct 10 [see: Plan B] COMP faced significant downside if its 200-DMA didn’t hold. Bottom line, it didn’t.  It was off as much as 13.3% last month before beginning a bounce that was destined to fail.  Next week, it will get … continue reading →