Edgar Peters
Edgar Peters
act change fed monetary next raising rates seen stocks symbolic temporary
Even if the Fed skips raising rates at the next meeting, it has to be seen as a symbolic act and not as a change in monetary policy. Stocks would only get a temporary boost.
certainly decline ease energy helping high markets oil prices
With energy prices at such high levels, any decline is very positive. The ease in oil is certainly helping the markets today.
companies control costs fast growing increase leverage revenue though
Even though revenue is not growing as fast as profits, companies have been able to leverage what they have. Companies have been able to control costs and increase productivity.
buy days finally relief seeing selling
You are seeing a relief rally. After all the days of selling we've been having, we can finally buy now.
bond bonds economy fast given inflation justify levels low offer slowing stocks yield
Bonds at these yield levels offer very little value. Inflation is low but it's not that low to justify bond buying, especially given the U.S. economy is not slowing at a fast pace. Stocks offer a much better value.
activity certainly encourages merger people seeing signal
Certainly seeing more merger and acquisition activity going on encourages people too because it's a signal to them that things are undervalued.
coming concerned demand market near results stocks suffering sustained
Results are coming in strong, but the market is concerned that this will not be sustained in the near future. There's still a lot of uncertainty, and demand for stocks is suffering because of that,
move seemed today
The only thing that seemed to really move today was oil.
bets economic large today trading volume
Trading volume is dwindling and we are probably not going to see large bets today and tomorrow, and especially after inconclusive economic data.
boost fed pause temporary
A pause by the Fed would give a temporary boost to stocks.
built data intel investors market negative news pressure saved sector services
The ISM Services data saved us from the Intel news this morning. With Intel there has been a lot of negative news that was already built in, so some of it may have been priced in. Investors now see the services sector is still growing, which is relieving the pressure the market has been under.
above firmness overcome showing stay weakness
It was encouraging that the Dow managed to stay above 11,000 yesterday, showing some firmness at that level. We may see some weakness linger, but we should overcome it.
fed funds likely raise rate
It's much more likely now, I think, that the Fed will raise the fed funds rate to at least 5 percent.
concerned neutral rate
They're still concerned about inflation. So I think we're in for at least one more rate hike, probably two. But things were put in a much more neutral tone.