Quote:
Originally Posted by GFED
The FED raising interest rates and the rising dollar is not good for this market. It puts more stress on multinationals. I'm surprised we are still making new highs. The market can stay irrational longer than one can stay rational.
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what new highs you are talking about ?
the problem is already visible (earlier as I expected them)
look the 3-year charts from GM, Ford, GE, Whirlpool, Harley Davidson etc etc - and you will see that after the short high because of the tax reform they are on the way down.
winners are the companies what are producing outside the US (i.e. coca cola, apple, qualcom etc.)
letīs look at the important indicators:
The July PMI registered 58.1 percent, a
decrease of 2.1 percentage points from the June reading of 60.2 percent.
The New Orders Index registered 60.2 percent, a
decrease of 3.3 percentage points from the June reading of 63.5 percent.
The Production Index registered 58.5 percent, a
3.8 percentage point decrease compared to the June reading of 62.3 percent.
The Supplier Deliveries Index registered 62.1 percent, a
6.1 percentage point decrease from the June reading of 68.2 percent.
the even more interessting part is that these indexes are usually going up in july and not down.
The Prices Index registered 73.2 percent in July, a 3.6 percentage point decrease from the June reading of 76.8 percent, indicating higher raw materials prices for the 29th consecutive month.
and imagin these are just the newest data and they do not show much as there is still
taxcut-money in the market what can be invested (mostly in buying own shares back what let the DOW at least stay on itīs level since 6 month).
this numbers are the beginning only and as i said I did not even expect them that fast.
another funny thing is the story about amazon is "robbing" usps - we all remeber that.
well, bezos reacted and changed a lot since that. especially using own and private delivery.
and here we go to the 2nd quarter result of usps:
The controllable loss for the quarter was $656 million, compared to controllable income of $12 million for the same quarter last year.
but it does not make sense to explain that to a brainwashed with no economic skills.
he will find out later and blame obama for it.