The T-Report: Going for 2
Go For 2 Since I sent out the Stepford Wives T-Report on Saturday and the Weekly Fixed Income ETF Review and Outlook on Sunday I don’t have much new to add. I will point out that Spain and Italy are leading us wider and lower and that was something the market deliberately chose to ignore […]
Weekly Fixed Income ETF Summary & Outlook
Dr. Bernankenstein Insist the Experiment Will Continue The Fed re-iterated its commitment to purchasing $85 billion a month of mortgages and treasuries until the job market improves. So far, all that is clear, is that the Fed is pushing investors into risky assets and is at the risk of turning investors into a bunch of […]
The Paradox of CDS
CDS is both Cheap and Dangerous… When looking across the credit space, CDS looks cheap. Looking at the CDX index it is hard to argue that 92 bps is “rich”. Sure, over the past few years that seems expensive, but it has been much tighter. I am still scarred by the days when the 5×10 […]
The T-Report: Thou Shalt Take Risk
The One Commandment Ben has come down from the mountain with the one commandment – take risk. All those at the base of the mountain, busy with such trivial pursuits as valuation, downside protection, relative value, and gosh forbid, the worst of all sins, have been told from on high to take risk. Maybe that […]
Weekly FI ETF Report: Dr. Bernankenstein & Catch 22
Dr. Bernankenstein I can’t help but think of Dr. Frankenstein with his experiment that goes wrong. An experiment, that seems to have no hope of succeeding, but then does, but then doesn’t play out according the script. Whether Ben can continue to look at the latest “unlimited” QE without questioning it remains to be seen, […]
Weekly FI ETF Report: Dr. Bernankenstein & Catch 22
Dr. Bernankenstein I can’t help but think of Dr. Frankenstein with his experiment that goes wrong. An experiment, that seems to have no hope of succeeding, but then does, but then doesn’t play out according the script. Whether Ben can continue to look at the latest “unlimited” QE without questioning it remains to be seen, […]
The T-Report: An Animal House Market
Was it over when the German’s bombed Pearl Harbor? One of my favorite movie scenes as not only is the quote so wrong as to be funny, but everyone just “rolls” with it. Which I think is actually relevant for today. For the past two sessions the S&P (and fixed income) have done nothing on […]
The T-Report: Keeping it Simple
As Simple As it Gets This is probably the simplest technical chart out there. A basic RSI chart which is signaling overbought for the first time since September. It was good in September and was good in March of last year. It was awful at the start of last year. So is this another January/February […]
Weekly Fixed Income ETF Review & Positioning: Ramones Edition
I Want to be Sedated! Continuing on our investing for “boredom” and a market addicted to morphine themes, I couldn’t think of a better song to channel and I really do think the Ramones are under utilized in investment letters. This was just a dull week in fixed income. Treasuries provided probably the most excitement, […]
The T-Report: The Rule of Three and Pain Trades – Delayed
The Rule of Three Before digging in, I just wanted to remind people that I am a strong believer in the “rule of 3” or alternatively “by the time my mother knows it” rule. It is simple, sometimes it doesn’t even seem serious, yet I think it is in play here. The pattern I see […]