The Morning Call--Signs of a rich market

 

The Morning Call

 

8/24/21

 

The Market

         

    Technical

 

            Tuesday in the charts.

            https://www.zerohedge.com/markets/short-squeeze-surge-sends-stocks-record-high-soft-data-slumps-14-month-lows

 

            Brace yourself.

            https://www.zerohedge.com/markets/nomura-warns-stocks-face-extreme-de-risking-flow-overhang-after-last-few-days

 

    Fundamental

 

       Headlines

 

              The Economy

 

                        US

 

Weekly mortgage applications were up 1.6% while purchase applications were up 3.0%.

 

                          July new home sales rose 1.0% versus estimates of down 2.7%.

                          https://www.advisorperspectives.com/dshort/updates/2021/08/24/new-home-sales-down-6-6-in-june

 

July durable goods orders declined 0.1% versus expectations of -0.3%; ex transportation, they rose 0.7% versus +0.5%.

                                   https://www.zerohedge.com/markets/us-durable-goods-orders-drop-july-unadjusted-motor-vehicles-orders-tumble

 

The August Richmond Fed manufacturing index came in at 9 versus forecasts of 25.

                          https://www.advisorperspectives.com/dshort/updates/2021/08/24/richmond-fed-manufacturing-activity-improved-in-august-despite-decline-in-index

 

                        International

 

June Japanese leading economic indicators were reported at 104.1 versus 102.6 in May.

 

The August German business climate index was 99.4 versus consensus of 100.4.

 

                        Other

 

                          Money, money everywhere except in the loan market.

                          https://mrzepczynski.blogspot.com/2021/08/money-money-everywhere-but-in-loan.html

 

            The Fed

 

              The case for no tapering.

              https://www.zerohedge.com/markets/central-banks-cannot-really-taper-slowdown

 

            Fiscal Policy

 

              The Treasury may have more impact than the Fed on money supply near term.

              https://www.zerohedge.com/markets/forget-fed-and-jackson-hole-treasury-about-unleash-500-billion-quantitative-tightening

 

              House agrees on $4.1 trillion in spending.

              https://www.zerohedge.com/political/pelosi-and-moderate-dems-strike-deal-over-41-trillion-economic-plan

 

            Inflation

 

              New data suggests easing in inflationary pressures.

              http://www.capitalspectator.com/new-data-continue-to-suggest-us-inflation-trend-is-peaking/

 

              But shortages could make matters worse.

              https://www.zerohedge.com/economics/shortages-are-going-get-worse-later-year-global-supply-chains-increasingly-falter

 

              Should house prices be in the CPI?

              https://www.pragcap.com/should-house-prices-be-in-the-cpi/

 

            The coronavirus

 

              The delta variant infections appear to have peaked.

              https://www.zerohedge.com/covid-19/it-finally-peaked-delta-delta-turns-negative

 

            Afghanistan

 

              The military’s systematic looting of the Treasury.

              https://www.nakedcapitalism.com/2021/08/notes-on-the-loss-of-afghanistan.html

 

     Bottom line.

 

            Signs of a rich market.

            https://www.zerohedge.com/markets/pet-rocks-other-signs-rich-market

 

    News on Stocks in Our Portfolios

 

 

 

What I am reading today

 

           

 

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