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Electricity Demand is Surging on the Back of Data Centers

Electricity Demand is Surging on the Back of Data Centers

By Michael Lebowitz and Lance Roberts | May 17, 2024 | Daily Market Commentary
The graph below shows that the price of electricity is surging. It has risen by about 8% annually over the last three years. Going back to 1955, there have only been three other price incr...
Retail Sales And CPI Return Hope For A September Cut

Retail Sales And CPI Return Hope For A September Cut

By Michael Lebowitz and Lance Roberts | May 16, 2024 | Daily Market Commentary
Wednesday’s retail sales and CPI data were weak enough to get investors back on the rate-cut bandwagon. As shown in the CME table below, the market now ascribes an 85% chance the Fed wil...
The GME and AMC Short Squeeze Is On Again

The GME and AMC Short Squeeze Is On Again

By Michael Lebowitz and Lance Roberts | May 15, 2024 | Daily Market Commentary
On Monday, the popular meme stocks Game Stop (GME) and AMC Entertainment (AMC) surged higher in yet another short squeeze episode. Fundamentally, both companies have been flirting with ban...
The VVIX and VIX Highlight Complacency

The VVIX and VIX Highlight Complacency

By Michael Lebowitz and Lance Roberts | May 14, 2024 | Daily Market Commentary
After a brief spurt of volatility accompanying the 6% market decline in April, implied volatility (VIX) and volatility of volatility (VVIX) have fallen back to multi-year lows. The lesser...
Small Cap Profit Margins Confirm NFIB Findings

Small Cap Profit Margins Confirm NFIB Findings

By Michael Lebowitz and Lance Roberts | May 13, 2024 | Daily Market Commentary
A few weeks ago, we wrote Economic Warning From The NFIB to share i...
Stock Buybacks Are Growing Again

Stock Buybacks Are Growing Again

By Michael Lebowitz and Lance Roberts | May 10, 2024 | Daily Market Commentary
Apple’s stock surged 7% after reporting flat earnings and revenue growth. Investors didn’t seem to mind that Apple is struggling to generate growth. What mattered more to Apple investo...
Economic Headwinds Are Starting To Gust

Economic Headwinds Are Starting To Gust

By Michael Lebowitz and Lance Roberts | May 9, 2024 | Daily Market Commentary
With just a few graphs, we can visualize how economic headwinds are about to get stiffer. Additionally, the graphs help us understand why President Biden has such low economic polling numb...
Could ACDC Bring Needed Growth To Apple?

Could ACDC Bring Needed Growth To Apple?

By Michael Lebowitz and Lance Roberts | May 8, 2024 | Daily Market Commentary
In June, Apple is expected to announce its progress on AI development, including Project ACDC, which stands for Apple Chips in Data Center. In a partnership with chip maker Taiwan Semicond...
Excess Savings Wanes Likely Eliminating Excess Growth

Excess Savings Wanes Likely Eliminating Excess Growth

By Michael Lebowitz and Lance Roberts | May 7, 2024 | Daily Market Commentary
Personal consumption accounts for two-thirds of economic activity. Therefore, the means by which consumers can spend is essential for forecasting economic growth. The San Francisco Fed jus...
A Stock And Bond Friendly Labor Report

A Stock And Bond Friendly Labor Report

By Michael Lebowitz and Lance Roberts | May 6, 2024 | Daily Market Commentary
Last week’s Employment Cost Index (ECI) shook the stock and bond markets as investors worried that higher wages would keep inflation sticky, thus forcing the Fed to push off rate cuts. H...