The economic calendar is more important than usual. There is an emphasis on housing data as well as reports on leading indicators, industrial production, and regional Fed surveys. The most important story of the week will be the Fed’s Wednesday rate decision. Market prices imply a high probability of a 25 basis point rate cut. Many market participants are counting on the Fed, but the real question is broader. Pundits should be asking:
Is falling confidence a threat to markets?
In last week’s installment of WTWA, I asked whether it was time to worry about crowded trades. That was indeed the question on financial news to start the week. Hunting for Cheap Stocks is Back in Favor. A massive market rotation called into question much of the “wisdom” of the last few months. InterestRead More »