In case you missed it, shares of JPMorgan tumbled over 4% today. Below is special commentary from Hedgeye CEO Keith McCullough who issued a prescient short signal on shares of JPM in Real-Time Alerts shortly after news broke that CEO Jamie Dimon has bought 500,000 shares.
Here are the signals McCullough sent to subscribers.
2/12/16 - Sell signal - shorting jpm
Having been The Bear on JP Morgan for all of 2016, I find this Old Wall narrative that "Dimon must know something " rather amusing. He's obviously a smart man, so you can be rest assured that if he really understands what the economic and credit risks are in the US economy, he needs to start to try to get out in front of that.
From a macro forecasting perspective, what does he really know though? Does he know more than the insider who sold stock at $59? Has he even read or considered the Hedgeye Macro view?
All I know is that interest rates are going to continue to make lower-all-time lows as long as the prevailing macro headwinds of #Deflation and #GrowthSlowing continue. I also know that is not good for bank stocks.
Sold to you, Jamie.
2/23/16 - BUY SIGNAL - COVERING SHORT JPM
How can we not get paid on being on the right side of the Dimon trade today?
Down -4% on the day, this is a big alpha generator for us inasmuch our favorite S&P Sector on the short side is (Financials).
Book some so that you can re-short some on the next storytelling bounce. No "peddling economic fiction" here.