Introducing Vital Signs Economic reports containing mixed signals along with highly varied interpretations of the reports are creating a wide range of views on the economy. Some interpretations focus on levels noting the currently depressed economic levels. Conversely, others focus on the trends noting the economic rebound occurring and proclaiming that economic normality is just […]
Investors would benefit from heeding, “Don’t fight the virus” over “Don’t fight the Fed”. “Don’t fight the Fed” is often the retort when questions surrounding today’s heady stock market valuations are raised. Is that sound advice? Not today.
Cash and cash equivalents “Cash” are typically thought of as low return, low risk, and rightly so. Yet, during periods like today characterized by a disconnect between depressed (and fragile) economic activity and equity market valuations, cash can hold the key to achieving the highest possible returns. How? Cash is much more than a direct […]
FAACT states (FL, AR, AZ, CA, and TX) comprise nearly 1/3 of the U.S. population and GDP. Given their economic significance, Solutionomics is tracking their 7-day infection rate. From of June 27th through July 3rd, the FAACT state infection rate hit nearly 180,000. This is more than 7X the rate the week before reopening and […]
Stock market prognostication is something I typically highly recommend against doing, yet I do so below. Why? First, because I perceive an unusually high level of risk in today’s equity markets. This is based on the inconsistency between today’s stock market valuations on the one hand and on the other hand today’s depressed economic environment […]
FAACT State (FL, AZ, AL, CA, TX) infection rates have nearly tripled since reopening. If businesses are forced to suspend or severely curtail operations again, that would be devastating fore the economy. Watch the FAACT state infection rate for clues to the direction of equity markets. Forget FAANG Stocks, Watch FAACT State Infection Rates for […]