“Trade what you see; not what you think.” – The Old Fool, Richard McCranie, trader extraordinaire.
Schiff Would Abolish Filibuster, Expand Supreme Court in Plan to ‘Protect Democracy’ (msn.com)
Abolish the Electoral College? Here’s what that looks like and it doesn’t look fair:
https://michaelpramirez.com/index.html
My cmt: The Electoral College was originally conceived to ensure that the President was elected by a majority of States, not a majority of voters. We are the United States of America. Without the Electoral College we become the United Cities of America, since that is where the population centers are.
“Dan Kalb, an Oakland City Council member, is an ardent environmentalist and liberal politician. He was considered ideal to speak at the University of California, Berkeley, on the environment... until students found out that Kalb is also a supporter of Israel... The students wrote to Kalb: “Considering your active role in retweeting and spreading pro-Israeli propaganda... on social media, questions arise regarding the validity, legitimacy, and authenticity of your views in regard to the advocation of our community.”
It is not hard to see where these students have learned this absurd understanding of free speech. It is the same logic used for years by professors to rationalize the echo chamber on faculties and campuses.” – Jonathan Turley. Commentary at...
https://jonathanturley.org/2024/01/13/liberal-politician-cancelled-from-speaking-on-the-environment-at-berkeley-over-pro-israel-views/#more-214116
“But more broadly, the [Supreme] court—which has a 6-3 conservative majority—has been asked to overturn a doctrine called Chevron deference. It stems from the court's 1984 ruling in Chevron v. Natural Resources Defense Council, which says courts should defer to a federal agency's interpretation of laws when they are ambiguous or unclear. Chevron deference "incentivizes a dynamic where Congress does far less than the Framers (of the U.S. Constitution) anticipated, and the executive branch is left to do far more by deciding controversial issues via regulatory fiat," attorneys for the fishermen wrote in a brief.” Story at...
Supreme Court Could Deal Fatal Blow to Powers of Federal Agencies (msn.com)
“Manufacturing activity dropped sharply in New York State, according to the Empire State Manufacturing January survey. The diffusion index for General Business Conditions fell to -43.7 from -14.5 in December. This morning's reading was worse than the forecast of -5.0 and is the index's lowest reading since May 2020.” Commentary and charts at...
https://www.advisorperspectives.com/dshort/commentaries/2024/01/16/empire-state-manufacturing-survey-activity-drops-sharply-in-january
“As Milton Friedman taught us long ago: “Monetary policy isn’t about interest rates; it’s about the growth in the quantity of money.” ... Since March 2022, the money supply (M2) has contracted by 4.5%. Money contractions are rare events. There have only been four such episodes since the Fed was established: 1920-22, 1929-33, 1937-38 and 1948-49. All were followed by recessions. That’s why we forecast that, given the Fed’s near-unprecedented tightness, a recession in 2024 is baked in the cake...” - Prof. Steve Hanke and John Greenwood, Johns Hopkins University, Baltimore and London. WSJ Letters at...
https://www.wsj.com/articles/fed-recession-inflation-2024-economics-prediction-1d18b532
My cmt: The writers state that Money is contracting, but is it contracting from such an overextended level that it won’t matter? I’ll leave that on to the economists. Currently, stock-market participants don’t seem too concerned about recession.
-Tuesday the S&P 500 declined about 0.4% to 4766.
-VIX rose about 9% to 13.84.
-The yield on the 10-year Treasury rose to 4.054
-Drop from Top: 0.3%. 25.4% max (on a closing basis).
-Trading Days since All-Time Top: 510-days. (The top was 3 January 2022.)
The S&P 500 is 8.5% ABOVE its 200-dMA and 3.3% ABOVE its 50-dMA.
*I won’t call the correction over until the S&P 500 makes a new all-time-high; however, the major bear-market bottom of the 25% decline was in the 3600 area and we called a buy on 4 October 2022.
XLK – Technology ETF (holding since the October 2022 lows).
XLY - Consumer Discretionary ETF. (Holding since the October 2022 lows - I bought more XLY 8/21/23.)
INTC – Added 12/6/2023.
DWCPF - Dow Jones U.S. Completion Total Stock Market Index. – Added 12/7/2023. This is a large position in my retirement account betting on Small Caps.
The weekly rundown of indicators were Bearish on Friday at 7-bear and 13-bull. I saw no change today. Only 14% of volume on the NYSE was up-volume today and other internals were weak.
I don’t try to time the market for small, short-term pullbacks so I remain bullish. Indicators are not overly bearish so I expect a routine pullback to the lower trend-line. A decline of about 3-4% from Monday’s close would be perfectly normal. That opinion would change if indicators deteriorate.
TODAY’S RANKING OF 15 ETFs (Ranked Daily)
ETF ranking follows:
The top ranked ETF receives 100%. The rest are then ranked based on their momentum relative to the leading ETF.
*For additional background on the ETF ranking system see NTSM Page at…
http://navigatethestockmarket.blogspot.com/p/exchange-traded-funds-etf-ranking.html
DOW STOCKS - TODAY’S MOMENTUM RANKING OF THE DOW 30 STOCKS (Ranked Daily)
DOW 30 momentum ranking follows:
The top ranked Stock receives 100%. The rest are then ranked based on their momentum relative to the leading Stock.
For more details, see NTSM Page at…
https://navigatethestockmarket.blogspot.com/p/a-system-for-trading-dow-30-stocks-my_8.html
TUESDAY MARKET INTERNALS (NYSE DATA)
