Thursday, February 11, 2016

Markets Are Not Stupid, Only Investors

Economic data, even timely data sets, look backwards. Market derived data sets, i.e. stocks, bonds, commodities, etc, look forward. The US economy is much much more than jobless claims. The Economic Activity Composite (EAC), a more comprehensive predictor of future US economic activity, has been contracting for months. The majority, seers of what they want to believe, will panic only after economic reality complete invalidates their beliefs.

Headline: Timeliest U.S. data show economy not at risk as stocks crumble

At least through last week, the U.S. economy is showing no sign of succumbing to the slump in financial markets.



Market-driven money flow, trend, and intermarket analysis is provided by an Insights key.