iSpy A Re-Rotation

ICYMI: There is a massive rotation going on the stock market, out of growth and into cyclical value. We have been writing and speaking about it for months. It is not hard to identify… just look at the largest market cap company in the world, Apple (AAPL) down...

Zoom (ZM) FQ4 Earnings Preview / Hedge Idea

Zoom (ZM) will reports its fiscal Q4 earnings today after the close. The options market is implying about a $44 (about 11%) move between now and Friday’s close, most of that is for tomorrow’s post-earnings response. With the stock near $402.50, the March...

Bank Shot – XLF

As most readers know, a large part of a bank’s earnings power is its net interest margin, per WSJ: More precisely, it is a measure of the difference between what a bank pays to get deposits or other funds, and what it charges to lend money. A bank usually bases...

What a Hunk of JNK

My good friend Peter Boockvar, CIO at Bleakley Advisors and author of the blog, BoockReport.com had a note out this morning with a mention of the price action in corporate bonds: I talked yesterday about the record high duration in US corporate bonds and LQD...

How Do You Like Them AAPLs?

Markets feel funky. I have been saying that for a while now, and while I am generally fairly optimistic about the back half of the year as we see the full impact of the 3rd round of fiscal stimulus since the start of the pandemic and a population reaching herd...
The Slope of Hope —> Russell 2000

The Slope of Hope —> Russell 2000

A little more than a month ago I laid out a near-term bearish view in small-cap stocks via the IWM, the etf that tracks the Russell 2000 (read here). That was a very bad call, the IWM is up more than 10% since investors are clearly viewing the group as massive...