Business keeps cutting capital investment (see chart, source: ZeroHedge). Growth has been deep in negative territory for some time. Profits, meanwhile, keep declining as well.
Capital investment is the main ingredient for increasing profits because it improves productivity. It is also a harbinger of stronger business conditions.
This trend is worrisome and reflects a struggling economy neutered by misguided monetary policy and political management.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank you for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
The S&P 500 broke below a major long-term moving average. This is a bearish sign, suggesting market's momentum has changed in a major way.
The above moving averages are very important to signal when the market is regaining momentum on the upside.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank you for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
The number of bears among individual investors has reached extreme levels (see above chart).
The odds favor a rally from a contrarian viewpoint. If it happens, what should you do? Should you start buying stocks again? Or, take this opportunity to go even more short?
The answer to these questions will be given by our proprietary indicators measuring momentum and financial risk.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank you for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
I always enjoy listening to the "sell side" opining to invest in Latin America or Emerging Markets or Europe (see above chart courtesy of ZerohHedge).
The fact of life is that at major turning points all stock markets behave in the same way - some better than others but always in the same direction. Up or down.
This time is no different. Equity markets are sinking around the globe.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank you for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
For several months I have documented the economic slowdown we are witnessing right now. Please re-visit previous posts.
The relentless decline in all commodities from crude oil to lumber (see above chart) reflect the dangerous weakening of the economy. The reason commodities are declining is because demand for goods and services is weak and weakening. Not surprisingly Treasury bonds are doing well in this environment
The slumping commodities point to soft earnings and a volatile stock market.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank you for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio Since 1977
Author, Profiting in Bull and Bear MarketsDisclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
Retail sales ex-autos are sinking, down on a year-on-year basis (see above chart - source: BofA).
The decline in crude oil has not helped consumers. The decline in crude oil is the outcome of the lack of spending by the consumers.
These data are updated regularly for our subscribers. They tell them what to do and how to approach the stock market.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank you for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
Orders for durable consumer goods keep sinking (see above chart). This is not what happens when the economy strengthens and the Fed needs to tighten.
It is one of the main reasons commodities are weak and profits are growing slowly.
These data are updated regularly for our subscribers. They tell them what to do and how to approach the stock market.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
The above chart (Source: BofA) shows that rail carloads have dropped to critical levels. These levels have preceded, or were accompanied by, an economic slowdown or a recession.
The economic weakness is the main reason for the precipitous decline in commodities. These are worrisome developments for the outlook of profits.
These data are updated regularly for our subscribers. They tell them what to do and how to approach the stock market.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
The green line represent the stock market. The other two lines (blue and red) show two different measures of liquidity.
Liquidity has not grown in 2014 and the market has gone nowhere. Liquidity has been declining sharply toward the end of 2015. And the market has been sinking.
These two indicators are some of our most important gauges to assess the short-term and long-term trend of the stock market.
They are updated regularly for our subscribers. They tell them what to do and how to approach the stock market.
You will encourage me to update this blog with my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
Thank for visiting this site.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
The red line represents the stock market. The blue line is one of our proprietary indicators showing financial risk (inverted in the graph).
The market wills stop declining when the red line rises, pointing to lower financial risk.
Our subscribers are updated weekly on its trend as well as the direction of other indicators we use.
You will encourage me to add new posts and update you on my assessment of what is happening to the economy and financial markets by entering a subscription to The Peter Dag Portfolio.
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
I have not shown new posts for some time. Why? Because I wanted to give you the opportunity to see if I was going to be correct on my assessment of the economic and financial trends.
Just go back to previous posts. They have a constant theme: Weaker economy. Lower commodities....
The above chart shows quite clearly the economy is in trouble, as I expected.
You will encourage me to add new posts and update you on my assessment of what is happening to the economy and financial market by entering a subscription to The Peter Dag Portfolio.
Happy and Profitable New Year!
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
Author, Profiting in Bull and Bear Markets
Disclaimer. The content on this site is provided as general information only and should not be taken as investment advice nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.
Subscribe now and learn "EASY WAYS TO BEAT THE MARKET WITH ETFs". Several portfolios back-tested from 2000 are shown in the subscribers' area on our website (www.peterdag.com) when you subscribe. Total returns, annualized returns, maximum losses during the period, and number of transactions are shown for each portfolio. The rules are easy to follow and you will find them in the appendix of each issue of The Peter Dag Portfolio. These portfolios are provided as a service to our subscribers.
