PRE MARKET STUFF

Futures up a wee bit this morning as markets never go down whole the Fed prints trillions.

Good day yesterday though market did pull in a bit towards the close. The NASDAQ leading the way again as usual when the fed is printing money.

WE KNOW EARNINGS AND SALES ARE FLAT TO DOWN. WE KNOW DEBT AND DEFICITS CONTINUE TO SKYROCKET. BUT WITH 51 RATE CUTS ACROSS THE GLOBE AND THE TRILLIONS OF MONEY PRINTING…IT IS FOLLY TO GET TOO BEARISH.

For sure, there are going to be pullbacks from extended and frothy conditions but until things change in price and volume…let us repeat…51 rate cuts in past 6 months and trillions of money printing. Jay Powell has telegraphed a good part of that money printing. Don’t believe the crap about the fed holding off on any more rate cuts. What they are doing with the money printing is like 10 rate cuts…maybe more.

We were asked…what if we wake up tomorrow and it was announced Powell is going to stop the money printing? Simple…we think there would be quite the haircut. Don’t know how much.

We were asked…you mentioned on radio how APPLE is up 80% off the lows while earnings and sales are down. Couldn’t this be the market forecasting better numbers going forward? Simple…yes it can but so far, nothing doing. We do expect the 5G to help out but to repeat, APPLE valuation is up over 80% from the lows. Not one bit of growth. That will need to eventually change. This comment is not a rub on the company. Just stating facts. The stock remains en fuego.

BOEING…we have told anyone who listened we would avoid new commitments to the stock and having been saying the same for months. We just felt there was too much uncertainty. And now, something else. It’s called trust. We believe it was on 11/11 where Boeing came out and said all kinds of positive stuff about a timeline for when the MAX will fly again. THEY WERE COMPLETELY WRONG. They over-promised and under-delivered. Trust and credibility matter. Not sure BOEING gets that right now. Of course, this is now on top of two tragedies that they have admitted blame for.

Again…if things change in price and volume, we will let you know.