Those promoting the bad GDP data should listen to Wells Fargo CEO John Stumpf who, like this cranky little spot in the financial media here at biiwii, thinks the US economy is “stronger than people think”.
Wells Fargo CEO: The US economy will surprise you
All you have to do is open your eyes and look at corporate profits and manufacturing, to name but two major pillars. Jobs is another, even considering the constant debates about the quality of said jobs. (more…)
With the news that Uber is now valued at $18 billion, it got me thinking about the taxicab market. I think, over time, Uber is going to do some serious damage to the wonderful world of yellow cabs. As some of you already know, the prices for the medallions that permit taxis to be used in the first place have absolutely skyrocketed:
Bank of America had a gap of 15.93 which has been closed, to my eyes, satisfactorily. I am now short the stock and long the August $17 puts.
The original intent and “raison d’etre” of our market based financial system was to facilitate capital formation and encourage investment / credit for enterprise expansion, through the establishment of efficient operational capital market exchange frameworks, so as to advance productivity and facilitate trade in the underlying economy. (more…)
Recent weakness in the European Financials ETF (EUFN) was punctuated by today’s (Thursday’s) gap down and close below the 50 day MA, as shown on the following 1-year Daily chart.
All 3 technical indicators have also dropped below their respective mid-point…signalling potential further weakness ahead. Major support sits around 23.50 to 24.50. Failure (drop and hold) below 23.50 could spark a major sell-off in European stocks…one to watch in the weeks ahead…particularly as the next ECB meeting approaches on June 5th. (more…)
Along with the highly publicized loss of leadership from big tech, the US stock market is now in danger of losing another, and possibly more important leader, the piggies or banking sector.
While the weekly chart of BKX has not yet broken down, it is very close to doing so after sporting a negative RSI divergence for the better part of the last year. We should not jump the gun with bearish scenarios, but as always we want to be among those looking forward and ready, just like in 2007, which was the last time BKX-SPX began to roll over in earnest.