Author: Kevin Klombies

Our focus to start things off today is going to be on the bond market. Specifically we are intrigued by the weakness of the long end of the U.S. Treasury market. Over the past few weeks 30-year Treasury yields have risen from a...

We have mentioned in the past that most of our work is based on our experiences in the markets and to the extent that we have never experienced the stock market going to zero we tend to believe that the greater the decline the...

We went to some lengths yesterday to write that we really weren’t that bearish with regard to the equity markets. Our view is that the S&P 500 Index will remain essentially flat into mid-year before rallying strongly...

Jan. 14 (Bloomberg) – Canada’s dollar fell to the lowest level in a month as the U.S. dollar strengthened against most currencies, boosted by investors seeking a haven against a deteriorating global economy. Jan. 14...

Last week we introduced the argument that the sum of the Canadian and Australian dollar futures (CAD plus AUD) could break to new lows through the first half of 2009. The idea was that these two currencies trend with commodity...

We are going to start things off today by returning- albeit briefly- to the chart of the U.S. stock market back in 1987. At top right we show the S&P 500 Index from the autumn of 1986 into the spring of 1988. We have argued...

Jan. 7 (Bloomberg) – Oil futures tumbled 12 percent, the most in more than seven years, after a U.S. government report showed bigger-than-expected increases in supplies of crude oil, gasoline and distillate fuel as...

We have argued- repeatedly, actually- that the broad U.S. stock market will recover once the oils begin to lose relative strength. While one might think that crude oil futures prices tumbling from around 147 to less than 40...

From the November equity markets lows through trading last week the trend had swung back towards relative strength in the cyclicals, a stronger stock market, and downward pressure on the bond market. The question at present...