How Risk-Off Markets Play Out
Chris Temple joins me this Christmas Eve to share his thoughts on the weakness in US equities. We also look at gold and oil as a couple other markets to consider.
Click download link to listen on this device: Download Show
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Merry Christmas to the KER crew and thanks for all that they do.
“Ho, Ho, Hodl – A Visit From Crypto-Claus”: A Blockchain Holiday Poem
Dec 20, 2017 – Cameron Crise
http://www.zerohedge.com/news/2017-12-20/ho-ho-hodl-visit-crypto-claus-blockchain-holiday-poem
Yes Merry Christmas to one and all
On this Christmas Day I wish to thank all involved with KEReport for making the site interesting and informative on many economic topics. Thanks Big Al, Corey et al.
This market may be oversold but when a Big Bull Market starts to collapse the sins of the profit years start to become apparent. Hedge Funds are always involved in all kinds of dubious practices. Bull markets hide the bad, Bear Markets expose the good and the bad. DT
We are now in a bear market — here’s what that means
Kate Rooney – 5 Hours Ago
– A “bear market” is when stocks see a 20 percent decline or more from a recent high — but they’re also marked by overall pessimism on Wall Street.
– Since World War II, bear markets have lasted 13 months on average, and stock markets tend to lose 30.4 percent of their value.
– During those conditions it usually takes stocks an average 22 months to recover, according to analysis from Goldman Sachs and CNBC.
https://www.cnbc.com/2018/12/24/whats-a-bear-market-and-how-long-do-they-usually-last-.html
Dow dives 653 points to below 22,000, S&P 500 enters bear market — worst Christmas Eve ever
Michael Sheetz and John Melloy – 5 hrs ago
“The Dow sank more than 2 percent, then recovered nearly all of the day’s losses, before again falling more than 2 percent. The S&P 500 fell 2.7 percent, slipping into a bear market as it fell 20.06 percent from recent highs. Wall Street traditionally considers a drop of 20 percent or more from recent highs to be a bear market. The Nasdaq Composite Index slid 2.2 percent.”
I’d agree with the comments made by Mr T & Cory that many markets are getting oversold here, and are do for at least a relief rally.
Odds are there are more rough days in store for the general markets next year, but things have moved down farther than most expected on this recent leg down in the general equities.
do = due
I got out of stocks, gold and all risk and moved into TLT 5 months ago. TLT hIS the ONLY safe way to play this.
Gold is the superior safe haven since it carries no counterparty risk. Obviously, TLT cannot protect you from currency risk the way gold does.
Had you bought gold 5 months ago (last week of July) instead, you’d be up about 4.5% instead of 3%.
I tried to simply approve this and was not able to so here goes a third time.
This was actually in reply to Paul regarding Doc’s comment.
Canadian battery maker say’s cost of it’s technology to tumble by half.
https://www.thestar.com/business/2018/12/24/canadian-battery-maker-says-cost-of-its-technology-to-tumble-by-half.html
Elon Musk stated about 4 or 5 years ago that he expected batteries to follow Moore’s law in both cost and density for the foreseeable future.
Indeed, he was relying on that for making electric cars first viable and then profitable.
I’m not sure he is quite there yet for Tesla.
I sold my OILD with a 40% gain. Will be buying USO puts now.
EWT has been showing this drop in oil for months.
The Dow (DIA) is down 30% versus the gold miners (GDX) and this is just the beginning:
http://schrts.co/Uzo6cF
The gold-oil ratio has rocketed as much as 87% in the last three months. This is fantastic for the gold miners even though the ratio might pull back considerably very soon…
http://schrts.co/TpJV41
The Dow-gold or gold-Dow picture is far better today than it was just before the big gold miner moves of 2016…
http://schrts.co/e9X861
Sorry to sh*t all over your Christmas but I wanted to post this before I forget. This is about the Ocrassio-Cortez “Green New Deal.”
House Democrats Are Lining Up Behind What Could Be The Largest Expansion Of Government In Decades
More than 40 Democratic lawmakers support the “Green New Deal” as part of a broad plan to fight global warming and bring about what they see as “economic, social and racial justice.” A poll found most Americans supported the deal, but knew little about it.
https://dailycaller.com/2018/12/25/democrats-green-new-deal/
And surprise, surprise…the sheeple are for it! And believe you me, they are going to get it good and hard. It won’t happen while Trump is in office but what happens when the Demorats win back the White House and Congress? The sheeple will get it good and hard!
You are right, the sheeple WILL get it good and hard. Thank goodness for that!
And here’s what winning in Afghanistan looks like. If you get the chance watch the documentary.
You will NEVER see this on the lamestream media. The Empire has poured over a trillion dollars down the Afghan toilet and is still spending tens of billions of dollars of your tax dollars every year to support drug addicted child molesters and one of the most corrupt and unpopular gooberments on earth.
What does Jimbo McKinney have to say to all this? I’m sure nothing to see here, folks. Just move along now (and don’t dare watch that documentary).
The S&P 500 index is catching a bid after piercing the 200 week MA for the first time in 7 years. This is a bounce, not the end of the decline.
http://schrts.co/kvJoLb
The following chart won’t show today’s action until this evening but silver is now confirming gold and is above its weekly Bollinger Band.
http://schrts.co/9fS57g
The double-top in UUP:GLD (USD vs Gold) looks like a done-deal…
http://schrts.co/Zvqmpc
UUP has now risen to fill its weekly chart gap to the penny:
http://schrts.co/UzLdNY
GDX ran into a little fork resistance today but I don’t think it will last long…
http://schrts.co/hFJFLs
The junior silvers are putting in a massive low versus the senior golds just in time for the new year. This is extra exciting if you’re as bullish the senior golds as I am…
http://schrts.co/E5Y4sb
Merry Christmas to all you folks.