The headline number in yesterday’s ISM Services report climbed to a five-month high. New Orders, employment and prices were all up as well.
It was a drastic shift in data, but on The Macro Show today, Keith McCullough reminded viewers Hedgeye’s risk management process remains unchanged.
“Yesterday was a Quad 1 day on economic data, big time, inasmuch as the month before that was big time Quad 4,” explains Hedgeye’s CEO.
“Yeah, it’s a five-month high, but it came off a five-month low. There’s so much noise, but there’s still consistency and discipline in the process. So, now you’ve got positive dealer gamma, you’ve got higher lows in everything I bought yesterday, you’ve got bullish trends and you’ve got bullish economic data. That’s process. Everything else would just be luck.”
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