Pictures of Monkeys Rally 15%

JC Parets
March 14, 2023

They say to buy when there's blood in the streets.

Does this count?

Hardly.

Many indexes around the world are just a few basis points from new highs. Most stocks in America have been rallying for 9 months.

But sure, there's a little blood, with some of these small regional banks disappearing. But depositors are keeping their money, so the only cost is a few people lost their jobs.

Good. Unemployment is way too low anyway.

This isn't communism where everybody "wins". We've proven that doesn't work.

Winners AND losers is how capitalism keeps winning. So good, we have some more losers. Hopefully there will be more.

And there probably will be. Fed Fund Futures are now pricing in rate CUTS this year, a far cry from the war against inflation that they keep yapping about.

Bitcoin was up 10% just today alone, and up almost 25% since Friday.

In fact, the floor price for Bored Apes were up over 15% today. Yes, pictures of monkeys were the leaders to the upside on news of nationwide bank failures.

Does that sound like risk aversion to you?

Or is that more like risk appetite?

Meanwhile, the Nasdaq100 was up about 75 basis points today.

In other words, rotation into growth stocks this year continues as rates keep coming down.

While bigger picture it's the more Value areas leading the way, this year so far certainly goes to the growth stocks.

The bond market is what moves markets guys.

Not sunday night specials on basic cable.

Stay focused.

Follow price.

Turn off the noise machine and put on some music.

It's better for the soul.

JC

 

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