So let's run through sector by sector to reveal the fantasies and delusions underlying each sector...
Start with Energy stocks which I just covered. Energy is massively leveraged to Oil which is massively leveraged to OPEC bullshit...
Banks, Financials, Small caps:
Just enjoyed the biggest three week rally since October 2008, however, the yield curve crashed this week, leaving a chasmic divergence between banks and interest rates.
The Russell/Dow ratio with small banks:
Retail
Likewise retail has had a massive rally for no reason whatsoever. However, Black Friday sales are coming in lower than last year, which portends badly for the sector...
Kohl's Department Stores:
Transports
Transports have been the least-performing sector, especially Marine Transportation. However, now that Dry Ships and the other junk stocks in this sector have finished their 1,000% parabolic rally to nowhere, the sector will roll over...
Dry Ships:
Railroads
Yield
High dividend stocks got monkey hammered by the Trump reflation rally, but bounced this past week. Just remember that Utilities are "leading"...
Utilities:
Big Cap Tech
Likewise, the tech sector was shellacked by Trump and the rotation from the *new* economy, back to the Eisenhower economy...
Biotech/Pharma
Had a massive run after the election because it was clear that the nascent price fixing probe would be overturned by the clean-sweep Republican Congress. Now, that corruption-based bounce is ending...
Housing
Housing stocks bounced recently, but are now rolling over due to higher interest rates compliments of Forrest-Trump-O-Nomics...
Toll Brothers, McMansions:
Emerging Markets/China
As I also wrote late this week, the third episode of Fed Policy by Police Squad will final implode EM/China:
What's left?
Keynesian Bombing of Foreigners:
Lockheed Martin, Northrop Grumman, Raytheon, General Dynamics versus Foodstamps:
Guns AND Foodstamps
Obama's legacy visualized. Foodstamps dipped at the end because they were cut twice by Congress...
And of course, High Beta
High Beta is the last refuge of Wall Street trying to make up for a year of underperformance, in five weeks...
Good luck with that, fucking morons:
