Archives: Mish's Daily

Market Posts its Holiday Lights with Barbed Wire

Mish Schneider | December 14, 2017

With 10 days til Christmas, the Santa rally has hung its ornamental lights with barbed wire. Yesterday, we saw what happens when seagulls feel the slightest threat to their safety…they peck at each other and/or chaotically fly away. Fight or flight equally describes the market as soon as it feels the slightest threat. So, despite the festive glow this time of year-consumer confidence strong, jobless claims down, and the Federal Reserve stating stronger expectations for

Market’s Fight or Flight

Mish Schneider | December 13, 2017

Peaceful seagulls will either peck at each other or take flight when they sense danger lurking. Their sense of danger however, is relative. I took this photo after I gingerly walked within 20 feet of where they were sunbathing. Chaos ensued. Several issues in the market have peaceful bulls sensing danger. To name a few: The upset in Alabama and how that will impact the tax reform vote. The Federal Reserve raised the interest rates

The Modern Family Has to Live Somewhere

Mish Schneider | December 11, 2017

While away at a business conference, we went to dinner and sat by an enormous saltwater fish tank. As I chased this clown fish around to get some photos, I realized how readily he seemed to adapt to his natural yet artificial habitat. That got me thinking about real estate and particularly the real estate Exchange Traded Fund, IYR. The Modern Family-the Russell 2000, Brick and Mortar Retail, Biotechnology, Semiconductors, Regional Banks, and Transportation must

When the Market Looks Up and Sees…

Mish Schneider | December 7, 2017

I begin with the preface that a bounce from support levels saves the day. But will it take the market up to 25,000 where surely our Gremlin on the wing of the plane sits? Speaking of planes, I sat on one last night on my way to a business convention. With little to do except stare at the wing of that plane, I watched Jim Cramer on Mad Money. He literally listed 12 “worries” about

The Winter of the Market’s Discontent

Mish Schneider | December 5, 2017

Shakespeare, in Richard III, uses the phrase “Winter of our Discontent” as a way for King Richard to express his feelings about living in a world that hates him. Interestingly, while Richard expresses his own discontent, he is also celebrating the fortunes his family has gained. The U.S.’s political scenario certainly mimics the time of Richard III in several uncanny ways. The Year of the Fire Rooster is not quite over (February 16th is the

Terror in the Dow at 25,000

Mish Schneider | December 4, 2017

Today, the Dow Jones Industrial Average hit a high of 24,534.04. Not quite at my terror point, but close. The last time I used the analogy from the Twilight Zone episode when William Shatner sees a gremlin on the wing of the airplane he’s flying in, was when the Dow tried for 18,000. In 2015, from April through June, the Dow tried to clear 18,000. Each time it did so on a weekly basis, it

Meet Big Brother Biotechnology

Mish Schneider | December 3, 2017

With so much news hitting the market on Friday, I decided to stick to the benign analysis of the final character of my Modern Family I presented on Facebook Live-Biotechnology-IBB! To read thoughts on the market and analysis, please refer to the ETF section. He is called the Family’s Big Brother although also known as Big Pharma. Why do I address him as Big Brother? IBB has a hand in everything you do! From

How Long Can the Market Avoid Crushing the Bulls?

Mish Schneider | November 30, 2017

Transportation (IYT) is clearly the star of the week. Fueled by record sales from the Thanksgiving sales blitz, goods are moving. IYT, from the 50 daily moving average breakout and phase change, rose by $11.00 in 2 days. Heady stuff. The debate on the effects of tax reform passing are equally as heady. Trickledown economics, at least in my lifetime, has not worked as far as creating more jobs. In fact, based on hard data

Market Spins on a Narrow Base

Mish Schneider | November 29, 2017

The metaphor of comparing the market to a circus performance began this week with an agile performer balancing precariously on one hand, while resting on an equally precarious stack of chairs. Yesterday, we saw the market juggle a plethora of pins. Today, we continue with our roller-skating couple, spinning wildly on a very narrow base. I purposely rendered the photo cartoonish. After all, one definition of a cartoon is “a non-realistic or semi-realistic artistic style

Vicariously Juggling All the Pins the Market Throws Us

Mish Schneider | November 28, 2017

Tax Reform, North Korea, Powell’s confirmation, Political Incorrectness, and Cryptocurrencies are the top 5 pins the market juggles. There’s more. Mergers and acquisitions (Buffalo Wild Wings and Arby’s the latest), Amazon’s dominance, a strong global economy, and the earthquake in Bali. And more. Sexual harassment issues, low inflation, and proposed, unpopular alterations of sacred landscapes are a few more pins to juggle. Unless you have the same uncanny dexterity skills as our pictured juggler, how