– Another month with ISM Price index above 75 is not great news for stock market investors.
– Bond market liquidity has been evaporating faster than any time since the early 80s.
– Corporate insiders are starting to show mild interest in buying stocks.
– Global equities sank, and commodities bounced. April was the worst month for NASDAQ since 2008.
– Nowhere to hide in US Equities last week as all factors, styles, and sectors declined.
– A 5.1% bounce in China kept Emerging market indices flat, offsetting declines elsewhere.
– The dollar moved sharply higher by 1.7% and is now up more than 7% year to date.
– Market Risk Index climbs on Psychology Composite move back into worst 20% of readings
– Sell in Mid-Term May is here.
– Risk assets declined. Real Estate was an exception, climbing more than 1% for the week.
– For the first time this month, Energy stocks underperformed Tech stocks on the downside.
– Emerging markets fell by 3.3%, driven by a 6.8% weekly decline in China. The bear market in China began in February 2021.
– Oil prices decline 4%, marking the second lower high in crude since prices topped above $120/bbl. in early March.
%
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)
