Research Report Excerpt #1 With this front of mind, I would suggest that investors not dwell on this past week’s retreat in the markets, even if Friday’s market action culminated with the lows of the week. One week, one day… that does not make a month or a year. While Friday’s retreat in the major…
Research Report Excerpt #1 Over my many years of investing and providing a financial market service to investors, I’ve found the perception principle reins supreme amongst investors/traders. It’s often very, very detrimental to the average investor/trader as well. Here’s what I mean by way of the following tweet via Michael Santoli of CNBC. (Again, Seth’s…
Research Report Excerpt #1 A huge challenge to achieving long-term gains in the market, if not the #1 reason, is the ability to overcome “fears”. The fear emotion is the greatest variable an investor/trader will likely ever contend with in the market. It’s a seemingly endless battle. Over the last 15 years as an active…
Research Report Excerpt #1 All of this standing in place has brought about a significant divergence in the 2010 analogue above. Despite a second down wave during the first 3 days of the past trading week, with the bounce-back on Thursday (5/20), the S&P 500 was never more than -4% from the last high reached…
While Finom Group does not offer a full-scale Research Report this particular weekend, we do have some thoughts to outline and through the following charts. The question investors have on their minds, after an 8% Nasdaq (COMPQ) correction, 10% Russell 2000 (RUT) correction, and recent 4% pullback in the S&P 500 (SPX)… then watching all…
The narrative surrounding inflation, or “reflation” as I recognize it to be, is pretty compelling. The financial media does a stand-up job of driving a fearful story that introduces many negative consequences from inflationary prices. History suggests that such fears are, indeed, overblown and generally only produce momentary equity market consequences. So before you get…
Research Report Excerpt #1 Are we on the cusp of another double-digit Nasdaq correction? Anything is possible, and since reaching it’s new all-time high on 4/29/2021 of 14,211, the growth and tech-heavy Nasdaq has once again come under pressure, even with bond yields under pressure. From the Nasdaq high to the most recent low, the…
Research Report Excerpt #1 Speaking of Friday’s pullback, Finom Group has identified what may have caused or catalyzed Friday’s downturn, the biggest Permanent Open Market Operation (POMO) of the Fed’s bi-weekly calendar cycle. This is what is commonly known as the Fed’s Quantitative Easing operation for which every 2 weeks the Fed is buying assets…
Research Report Excerpt #1 Which sector will lead the longer-term trend? Sector and style rotation has remained a dominant theme in 2021, but investors shouldn’t get too bogged down by this debate, missing the forest for the trees. It’s this constant style and sector rotation, this leadership and laggard-ship that may be making it that…
A boom or bust for the economy and markets? Risky assets will continue to benefit Our top 10 takeaways follow: 1. US growth is entering a boom period with positive spillovers. J.P. Morgan’s Economics Research team estimates US growth will reach 9.5% in 2Q and 8.3% in 3Q before trending down to 6.3% for the…
