"Near-term risks to the economic outlook have diminished."
-Federal Reserve, July 27, 2016
#NoWorries
Nothing to see here. It's fine. The S&P 500 is hitting all-time highs on no volume, earnings sucks, economic indicators continue to slide and there's this general economic malaise that's caused equity markets to crash globally. Forget all that.
But for posterity's sake consider a few evolving realities (with Old Wall narratives in italics).
Narrative #1: "European equities are really cheap."
1. Italy
https://twitter.com/KeithMcCullough/status/758612137853980672
2. Spain
https://twitter.com/KeithMcCullough/status/758612487138934784
"Stop talking about global equities we're long commodities..."
#Whoops
3. Commodities
https://twitter.com/KeithMcCullough/status/758613170642624512
"... But, but oil stocks."
4. OIL
https://twitter.com/KeithMcCullough/status/758613977400246273
"Come on now, the U.S. consumer is strong."
5. Ford
https://twitter.com/KeithMcCullough/status/758671776444354561
"Listen, the S&P 500 chart looks great. We broke above the all-time high."
6. no Volume
https://twitter.com/KeithMcCullough/status/758607839162208256