Posts by Mike Verity

Some of the risk-on bent we’ve seen in the stock market faded today. Perhaps that’s because mid-term elections failed to provide much clarity as too many races are too close to call. Perhaps it’s because the month-long rally has run its course. Perhaps it has to do more with Disney’s disappointing earnings announcement, Or maybe…

Major stock market indexes opened sharply higher this morning, extending the nearly month-long rally. The Dow is up nearly 500 points and the S&P 500 is up 1.2% in early trading. It seems likely this little rally is owed in part to midterm elections, which are expected to yield gridlock in Washington. In addition, we’re…

The US economy generated 261,000 new jobs in October, which is significantly ahead of economists’ expectations. The Bureau of Labor Statistics (BLS) also upwardly revised jobs gains reported for September. Hiring was broadbased, from manufacturing to government to healthcare to professional services. The unemployment rate ticked up to 3.7% from 3.5%. Wage growth has slowed…

Yesterday’s Federal Reserve announcement initially provided some hope for investors. As expected, the committee raised its short-term policy interest rate by .75%, bringing the rate up to 4.0%. In addition, it modified the accompanying statement to say that when making future policy decisions, the Fed will consider the cumulative impact of this year’s rate hikes,…

Stocks dipped at the open on a better than expected jobs report (see below). Currently, the Dow is down 90 points, and the S&P 500 is down .7%. The VIX Index ticked up to 26.6, but certainly isn’t freaked out. And neither is gold, down about .15% in early trading. The bond market is little…

After a month-long rally, which pushed the Dow up 14% and the S&P 500 up 8%, investors are taking a breather. This morning’s trade is choppy and directionless ahead of the Federal Reserve’s policy announcement tomorrow. October wasn’t a great month for bond investors because rising interest rate expectations hit bond prices. The 2-year Treasury…

Stocks opened sharply higher this morning. The Dow is currently up 680 points and the S&P 500 is up 1.9%. There are other signs of a risk-on bent to today’s session. The VIX fell 4%, gold is down over 1%, safe-haven Treasury bonds are sagging but junk bonds are in rally mode. The US economy…

Stocks dipped at the open but quickly turned around. Currently, the Dow is up 278 points and the S&P is up .45%. The VIX fear gauge continues to bleed lower. Earnings announcements continue to trend better than feared. Just as important, the dollar is weaker again today and bonds are rallying as yields tick lower.…

Major stock market indexes opened higher this morning, looking for direction in a market characterized by crosscurrents and contradicting signals. Currently, the Dow is up 320 points and the S&P 500 is up .9%. The VIX Index has quietly fallen back to 30 from 33 over the past couple of weeks. The dollar is flat,…

Stocks open lower this morning following a week-long rally. Currently, the Dow is down 220 points and the S&P 500 is down 1.1%. Today’s weakness is not, however, accompanied by a spike in the VIX or gold, or bonds for that matter. The culprit seems to be a stronger dollar, which tends to push stocks…