The dynamics of this market are very clear. It cannot go up without the support of oil. When oil trades lower, so do the energy, industrial, and banking sectors.
That roughly constitutes around 50% of the market. When you take into account the earnings recession underway in tech, a sector maligned by earnings shortfalls, you get to truly understand why the market has a hard time rallying without crude.
Those sectors combined account for 70% of the market cap in this market. The only big sector left to allocate into is healthcare, which accounts for another 20%. Unfortunately, that’s been the worst performing sector of 2016.
Ergo, without the benefit of Canadian tar sands being held captive by an inferno, there’s very little reason to get excited about stocks.
Tonight, before you go to bed, pray and beg for the House of Saud to cut production. Otherwise, you and your ilk are going to be rooted and routed out of this market with ease.
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vix still in the gutter 🙁
only in the gutter b/c the roll is in 8 days.
It’s still slightly up off the “retarded lows” and will most certainly spike into the 20’s before end of June.
could be next week lol
Death to bankers
J P M
M S
G S
W F
BoA
C
You’re not as important as you think
You’re not near worth to the community
What you’re personally compensated. Die
showtime….in your mind they’re all the same….”banks”?!! how many depositors does GS have? how many small biz loans are on MS’s books?!
1. “Investors sought the safe haven of Biotech stocks today” Hopefully you see contradiction. These guys/Those guys the primary dealers responsible for that
yes nuance was left out for effect
2. Glass Steagall
Bofa s trying to cleanup. They have been reducing client portfolio and did not have christmas bonus nor parties.
You forgot DB…………….Of course their death is a certainty.
The oil correlation is nuts. But there it is.