Beyond Meat released earnings a few moments ago, and at the moment, it’s ugly (I have to add all these caveats, because in this insane market, BYND could be up 100% in the morning for all I know).
Spoilage May Occur
Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
Yuan Valdez
We haven’t looked at the US dollar relationship with the Chinese Yuan in a while. As I mentioned during the trade war (remember that?), the stronger this cross-rate is, the weaker our equities will be, and vice versa. This thing peaked on September 3rd and has been trending lower ever since then (thus, equities have been strong). It’s a relationship that merits monitoring.
Divergent Behavior
Below is an interesting chart showing, in blue, the S&P 500, and in black, the FR:T10Y2Y (10 year interest rates minus the two year). We’re only dealing with a sample size of three here, but I at least wanted to illustrate what happened in prior instances at these levels where the rate spread got to a certain depth. I’ll also point out that in 2007, it took a few months for any kind of bear market to take hold, even after the signal (if it IS a signal):
Lighting a Wet Rag
Happy New Week, Slopers, and welcome to the busiest earnings week for the rest of 2019. Most indexes and ETFs are roaring to prices never seen before in history, such as the NASDAQ, represented here by the QQQ:
Simple Minds
We live in a very complex word, and it grows more complex by the day. But let’s set aside all the uncertainties, possibilities, relationships, and exogenous outliers. Let’s strip it away and focus on the basics.
It’s quite evident that being simple-minded in 2009 was the way to go. The President said to go out and buy stocks. The Federal Reserve made it absolutely clear they were going to pour everything they had into “saving” the economy. Any member of John Q. Public who naively took them out their word has made out fabulously well to this day. We sit at lifetime highs in equity markets, in spite of a $23 trillion debt which is going to grow $1 trillion per year (at least) as far as the eye can see.
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