Five indicators suggest stocks will break out to new highs

Finance


Ablin had expected liquidity, the amount of money to borrow, spend and invest, to break down — but it never did. Instead, it has actually improved.

“I thought was going to go negative about two months ago, but, remarkably, largely on the back of these earnings reports, I suppose, liquidity reversed course. We’re actually square back in the middle of easy money again,” Ablin said.

He views slowing liquidity as an early warning sign of market trouble — giving the example of the indicator going negative four quarters before the 2008 financial crisis erupted.



Source link

Products You May Like

Articles You May Like

More Americans than ever own stocks, potentially giving the market a bigger wealth effect
A ’90s Bogle interview shows how little his investing strategy changed
CNBC’s coverage of Barack Obama’s inauguration
Here’s how to avoid disinheriting your kids after a remarriage
Small businesses feel shutdown pinch. How to get financial wiggle room

Leave a Reply

Your email address will not be published. Required fields are marked *