The number of companies cutting dividends is soaring and has reached levels not seen since 2008 (see above chart).
This was the time when the economy was facing huge economic and financial problems - while the Fed's outlook was quite positive.
Companies are cutting dividends because profits are declining in Q1 and are also projected to decline in Q2.
These trends show an economy having serious problems. Which is the reason commodities (all of them, including oil and gold) are likely to go nowhere. Can equities go up in this environment?
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George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977
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