Wkly Round-Up thru 4/19/19 Market Melt-Up?

Hey Folks, I hope everyone is enjoying the long holiday weekend.

Enjoy our Weekly Soundbites below:

• Now the markets to be in a fear of a “melt-up” driven mostly by FOMO (the Fear of Missing Out) as we saw a lot of money (estimated to be an exodus of about $126.2 Billion) leave the markets at the lows in Dec 2018 and failed to come back into the markets…and as we continue to make new highs this forces money back into markets chasing yields which in turn drives price action even higher…and with the wage markets very tight that has seemed to sideline the FEDs as far as another potential rate cut as many thought was necessary only a few weeks ago…

• So far, we are seeing Q1 US Corporate Earnings coming in about 3.8% lower YoY but the numbers on bottom line are still showing over 77% beats but keep in mind this is on already lowered guidance…many eyes were on bank earnings and even though they reported mixed results, most commentary from their respective CEOs indicated the health and state of the current US Economy was good…in other words, they see no recession near term…

• Globally, yields on most Government debt is still very low, as it is estimated that we still see about $9 Trillion plus in negative yield territories…this in turn forces money to see higher yield in riskier assets such as more junk bonds and in some equities…
Here is this week’s Weekly Round-Up:

Don’t Be A Rat Brain Trader – Be The Red Striped Zebra !
Trade Smart !!

hpb