The Fed-Fueled Rallies in Stocks, Bonds and Gold

Published on
June 26th, 2019
Duration
14 minutes

The Fed-Fueled Rallies in Stocks, Bonds and Gold

Trade Ideas ·
Featuring Chris Verrone

Published on: June 26th, 2019 • Duration: 14 minutes

Chris Verrone, partner at Strategas, returns to Real Vision to discuss the Fed-induced liquidity rally that’s driving the action in stocks, bonds and gold. He analyzes the trends using technical indicators, notes historical examples to pay attention to, and provides his outlook for the three markets, in this interview with Justine Underhill. Filmed on June 25, 2019.

Comments

Transcript

  • TZ
    Tibor Z.
    18 July 2019 @ 14:04
    Justin! You are my favorite. From the top to the toe! Other than that I love gold :) Hopefully we will see a rally.
  • DH
    Daniel H.
    6 July 2019 @ 06:50
    Sell side conventional wisdom. Sheesh.
  • SB
    Stewart B.
    29 June 2019 @ 15:08
    Nice research. Great question Justine regarding different timeframes.
  • SC
    Stephan C.
    27 June 2019 @ 19:30
    Some very thoughtful perspectives. Please bring him back.
  • SB
    Stephen B.
    27 June 2019 @ 16:16
    Interesting that he said that bad news on trade, etc is already predicated and that if we have a challenge to stock prices it will come from something that we have not foreseen. I used to be a (infrastructure) project developer and the same was also always true. The potential problems you are aware of you manage - it is the "unknown, unknowns" that get you every time. Makes investing fun!
  • SB
    Stephen B.
    27 June 2019 @ 13:50
    Excellent!
  • Kv
    Kristian v.
    27 June 2019 @ 05:06
    Who is this cracker? US economic data looks terrible. Comparative base effects for earnings are going to drag down the PE multiples for the S&P over the next 2 quarters. Gary Shilling is saying we’re already in a recession and this guy is going long due to liquidity conditions. What about volumes that are consistently down on almost every up day? Yes there some bright spots in a select few EM countries but as we’ve seen since the start of 2018 those can diverge from the US economy. And as for copper there is little bullish on that chart. Being long stocks (especially the Russel 2000) and short bonds here while thinking this is somehow 2016 all over again seems foolish given the data.
  • JF
    John F.
    27 June 2019 @ 03:45
    "The fact is that with the exception of 1967 and 1996, every initial easing of monetary policy by the Federal Reserve has been associated with an oncoming or ongoing recession." --John Hussman --June 26, 2019
  • GG
    Gary G.
    27 June 2019 @ 02:40
    Love it!!
  • SS
    Sam S.
    26 June 2019 @ 19:15
    Gold & Bitcoin up together rather plays into the lack of confidence in Government and Central Banks. Gold vs Silver ratio has widened, so industrial use is not playing along. Central Banks are buying Gold for protection and equities for to participate in yield. I do like Chris's comments the he doesn't care the reasons why the bull trend, the charts don't lie and can't be revised, so play it and profit. Justine always does a great job.
  • T
    Thomas .
    26 June 2019 @ 17:43
    Excellent analysis. Please bring him back.
  • DN
    Douglas N.
    26 June 2019 @ 16:00
    So yea- when was this recorded?? Ends by saying gold should consolidate and hold at $1325-$1350??
    • DS
      David S.
      26 June 2019 @ 17:51
      June 25th. DLS
    • LH
      Leigh H.
      26 June 2019 @ 17:54
      said those ## were support
    • JL
      James L.
      27 June 2019 @ 08:52
      he's saying it may pullback from here today douglas
  • YL
    Young L.
    26 June 2019 @ 14:32
    on the description, the text reads "Filed on January 25, 2019". Video shows June 25.
  • DR
    David R.
    26 June 2019 @ 05:41
    In nutshell, the insane US liquidity injections at a time of peak empolyment and record equity prices helps assure that the weak dollar will become very weak. Thus equities and gold have much room to run, but the best buys in equities are in various emerging and frontier markets, not US markets which will significantly underperform both nominally and especially on an FX-adjusted basis. Stay away from US debt denominated in USD, as the guest points out, because it's indeed harzardous to your financial health. Some EM debt though with its much higher yields and rising FX is relatively attractive though. Love the gold and bitcoin - tho the 13K price target has been reached and a major correction lies ahead, after which bitcoin will make all time highs, as will gold, as these are the standard bearer in anti-USD, which is the place we most wanna be for the long run.