Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.
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You’re going to have to wait for the Fed to see all of this (and the #divergence between CRB Raw Industrial Commodities vs. Oil, which were DOWN -0.1% last week to only +1.0% inflation in the last 3 months) on a lag. Because that’s what they do. And deal with the blowup bearish US Equity Bubble market signals to continue to manifest in the meantime: A) Both Russell 2000 (IWM) and NASDAQ Signaling Bearish @Hedgeye TREND now alongside Tech (XLK)… Where will rates stop going up? I don’t know. But the higher the short-end (2yr UST Yield 1.03% this morning) goes, from here… And the more real US GROWTH slows… the faster the Yield Curve is going to compress. |
