– Stocks declined, but real estate, commodities and Treasury prices all climbed higher.
– Less than half the sectors moved higher. Healthcare had a strong week, up 1.8%.
– Emerging markets managed to squeeze out a positive return, thanks to another strong week from Chinese equities.
– Building a home got even more expensive. Lumber was up another 6% and is up more than 320% over the last 12 months. Bitcoin declined by 19%.
– Our measure of monetary velocity is positive for the first time since late 2017.
– Money isn’t on the sidelines – it’s in the market.
– It was a broad advance for all asset classes, the first week in quite some time without any glaring divergences.
– Sectors and style boxes mostly advanced as well, although Large Caps outperformed.
– Developed markets outperformed emerging, but China finally managed to put in a positive weekly return.
– Long duration Treasuries rallied more than 1.5%. Lumber also rallied another 15%. Lumber prices are closing in on a 300% gain over the last 12 months.
– A week of solid breadth, resets the bear market clock.
– New records in Levered ETF Sentiment and Corporate Insider selling.
– Margin Debt growth surpassed 70% year over year.
– A $100 million dollar New Jersey deli?
%
Market Risk Index scales from 0 to 100%. Higher readings correspond with higher risk markets. Scores below 25% are bullish. Scores between 25-75% are neutral, and scores above 75% are markets vulnerable to major drawdowns.
Model Category Readings (Percentiles)
