Stock Futures Higher On Even More Bad Economic News. By Gregory Mannarino
At the time I am writing this article is 6:15 AM on the west coast of the United States.
Stock futures are up strongly in the pre-market action on yet again more bad economic news.
It is being reported that consumer demand for home loans is slowing, and durable goods orders, (that is the demand for long lasting factory goods) has now declined for two straight months yet stock futures are higher.
It is clear that this market remains upside down in that bad economic news continues to be an upward driver for stock prices.
The market obviously believes that the Federal Reserve is stuck, and will have to hold off on future planned rate hikes.
The market also believes that the Federal Reserve will not be able to begin normalizing there gargantuan balance sheet.
Today's pre-market action is typical of what we have been seeing over and over again, because the Federal Reserve is running the show. The market realizes that the US economy is in trouble and this means that the Federal Reserve will have to slow their current planned rate hike trajectory. Moreover, as I have been saying, I still cannot imagine a scenario where the Federal Reserve will be able to even begin normalizing the balance sheet.
There will be a point when bad economic news drives markets lower as it should, but in this upside down Fed. managed market the distortions may get even worse before a real market once again emerges.
Gregory Mannarino
I am getting used to this upside down market
Economical catastrophe awaits us. Some day, suddenly, with no warning, the stock market will plunge tens of % in hours, not days, but hours. I just finished reading Road to Ruin by James Rickards and I think we have a scary future coming up in the next few years.
@marketreport how much of our money should be held in precious metals and cryptocurrencies? I currently hold over 80% of my money in those!
You see what Dudley has to say? Is he just trying to jawbone the markets down or is he serious about what the fed is doing. So hard to tell at this point. http://www.zerohedge.com/news/2017-06-26/feds-dudley-had-some-worrying-remarks-during-closed-press-session
The day of reckoning is coming. Thanks for the update Greg!
I agree with you 100%.
Beside the bad economic news, somebody or something has decided to dumped another 2 billions into the gold market, causing the gold market to flash crash. No wonder the market is heading back up...it's just insane. Real hard economic data no longer matter, it just an illusion for the the masses and the sheep to be slaughter down the road.
Another great update Greg...
Gres we always upvote and re steem
I always find one of the hardest things to do is to exit before market crashes. Yes there are signs, but human nature is to see the positive.
Two things I am careful with is stop-losses and only trading the trends. I hope that these look after me if /when the reversal kicks in.
Thanks for keeping your finger on the pulse of the markets so early in the morning Greg
The early bird catches the worm :)
Thank you for saying this.
The early bird takes lessons from the Lion on how to rip the face off the market!
Thank you for sharing
Sheeple, buy ,buy and buy some more. It's all crazy.