This was a fascinating week featuring political shifts, increased market volatility, and a week-long drop in the stock prices of the mega-cap tech leaders that have been supporting the equity market indexes the past couple of years. This week, we’re focused on higher retail sales and wondering if anything will slow the consumer. Higher jobless … Read more
Ok – it’s a bit of a clickbait title. I confess. The economic news this week wasn’t great, but we’re not actually at doomsday. I’ve been making the point that we’re in a bifurcated economy where a few people doing extremely well pulls up the overall statistics while hiding the fact that most of the … Read more
Comments by a Fed Governor started a debate this week on the future of rate HIKES. That was followed by a PCE report that had both the hawks and doves declaring victory. The underlying data isn’t getting better and the government is still engaging in massive stimulus so DKI’s conclusions will not surprise you. 1Q … Read more
This week, we released the DKI report on AuthID in public and explain the use cases for biometric security. The stock has some near-term catalysts, and the full report is available on the DKI website. DKI Intern, Andrew Brown, brings up the complicated issue of whether the government should interfere in free markets to “help” … Read more
The Federal Reserve completed its May meeting and kept rates unchanged. So, why did the market rise? The Bank of Japan intervened to save the yen twice to no effect before getting bailed out by the Fed taper and a weak employment report. Irresponsible people in Washington are saying insane things. DKI’s solution: Everybody stop … Read more
We saw a weak and overstated GDP print combined with a higher inflation metric. The conclusion is that absent government spending, we’re heading for stagflation. One problem: government spending is destroying value. Mish Shedlock warns that we can’t vote our way out of the problem. On the commercial real estate front, landlords are coming up … Read more
The first estimate for 1Q GDP came out this morning. Growth of 1.6% was well below expectations of 2.2% with some economists expecting a much higher number. As usual, we’ll go through a couple of adjustments. DKI adjusts for change in private inventories because it reflects inventory stocking or de-stocking as opposed to actual economic … Read more
The Shockwave offer that DKI predicted in December happened this week with Johnson & Johnson agreeing to pay $335 per share in cash. DKI subscribers celebrated! The PMI came in hot. Don’t want to read the details? The conclusion is “higher for longer”. More insane calls by “experts” crying for lower interest rates in order … Read more
This was a big week for people who follow macroeconomic news. The Federal Reserve kept rates and the dot plot unchanged, but the press release was carefully worded to be opaque. We’ll explain why. After more than a decade of near and even below-zero interest rates at the Bank of Japan, they finally responded to … Read more
In December, we produced a version of the 5 Things titled “The Smart People Doing Smart Things Issue”. This time, we’re not so positive. This was a week of people being consistently wrong including Bitcoin bears who refuse to apply a consistent lens for their thesis when it’s not working, Fed doves who keep insisting … Read more
