Stocks and Bonds Do Dangerous Dance – Ep. 327

Stocks and Bonds Do Dangerous Dance – Ep. 327

Volatility
The volatility is really continuing, in fact, today at one point this morning the Dow was up close to 400 points; ended up closing negative. It wasn't a big drop; about 20 points, but I think that's the biggest reversal of a gain to a loss in a little over 2 years. The broader market did worse. The S&P percentage-wise dropped about 13.5 points; the NASDAQ was down about 64 points.
Turnaround Tuesday
Of course the biggest reversal is the one we had yesterday. In fact, when I recorded my podcast on Monday I thought we'd have a big drop on Tuesday, but then I though we could also have a rally - Turnaround Tuesday. I thought we'd have a big drop in the morning and some kind of rally. That's exactly what we did, except we had an even bigger drop in the evening.
Dow Futures Loss
On Monday night, looking at how U.S. stock futures were trading in Asia, the Dow futures were down the equivalent of 1300 points. Now by the time New York markets opened, we had recouped almost all those losses. But if you look at the 5 trading days, from the high, the Dow Futures lost about 13% of their value. That just shows you how quickly the market can go down. The next time it could lose even more. That was a big move. Then we finished the day with a 500-point rally. So, lots of volatility.
Trend is Changing
I will tell you something: When you have a trend, and then all of a sudden you see lots of volatility, generally, that's a sign the trend is changing. The trend has been up, obviously stocks have been trending up for years. And they've been trending up with minimal volatility. All of a sudden you see massive volatility. Does that mean the trend is likely to continue? No. It's more likely a sign the trend has come to an end. Now you're getting all this volatility as people are jockeying around for position. People are buying the dips, now they're selling the rips.
Tail Wagging the Dog
I think the close today is a very weak close. We could start selling off tonight. I think the markets closed in a very weak way and there could be a lot more downside, especially if you look at what's happening in the bond market. That is the tail that is wagging the stock market dog. Yields on bonds are now back to the highs. In fact, the yield on the 30-year is now the highest it has been all year. Higher than it was before this little crash. The yield is 3.117 on the close.

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Jaksot(1084)

SchiffRadio Podcast Episode 3

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SchiffRadio Podcast Episode 3 Synopsis: * FOMC: Janet Yellen's official statement and her response to her Q&A, later in the day * Market reaction to Yellen's statement, and the "walk" vs the "talk". * The Ali Baba IPO * The breakdown in the price of Bitcoin * My crazy email exchange with CNBC's Joe Kernen * Scotland votes to remain in the UK Our Sponsors: * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

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SchiffRadio Podcast Episode 2

SchiffRadio Podcast Episode 2

SchiffRadio Podcast Episode 2 Synopsis * Economic Data - More weak data * Purchase applications index declined by 7.2% - biggest decline in 14 years * Treasury yields slightly up for the week * Retail sales up - Buying more or paying more? * auto purchases with cheap money * inflation not taken into account * Auto loans increasingly delinquent * Fed Policy * I'll admit to being wrong if the Fed raises interest rates back to normal and shrinks its balance sheet back to normal, as promised, and does not produce a financial crisis. * Interest Rates * Negative Interest Rates in Japan and in Switzerland * Inflation * Paul Krugman says we should be at 4% inflation and a minimum wage of $10.10 * Commentary on Henry Blodgett's inflation comments * Column from David K. Johnson on how corporations are getting rich by paying taxes * Employment * Jobless claims up, indicating a trend change * The Economy * Recognizing bubbles ahead of the crisis * Europe - Poll on Scottish independence * Social Issues: * The NBA in the hot seat for racism * Over-reaction to the Ray Rice story Our Sponsors: * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

15 Syys 20142h 3min

Schiff Radio Podcast Episode 1

Schiff Radio Podcast Episode 1

Schiff Radio Podcast Episode 1  Synopsis: * Wall Street foolishly dismisses August's horrible Jobs Report * ECB cuts rates in misguided push for higher inflation. * "Shrink-flation," what is it and why those using the term still don't get it. * Implications of Switzerland's coming gold reserve vote . * Protesting Fast food workers determined to put themselves out of work. * Does Alibaba's biggest IPO in history shows portent more interest in foreign stocks? * Countrywide's Anthony Mozilo is not the real villain. * NY Fed concedes 25% of college grads wasted their time and money. Our Sponsors: * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

9 Syys 20141h 52min

Schiff Radio – January 1, 2014

Schiff Radio – January 1, 2014

Happy Holidays!, Due to the holidays, Peter Schiff Show is airing best-of broadcasts. Our Sponsors: * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

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