May 2, 2022
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Mike Singleton of Invictus Research joins the podcast to discuss why the current sell-off is not a buying opportunity for stocks.
Content Highlights
- Many contrarians currently believe sentiment is too bearish, meaning the market is due for a run for strong performance. Their conclusion is likely wrong (3:28);
- Regardless of what investors say in surveys, the key question is whether they have money on the line -- and how much (5:50);
- Right now retail exposure to stocks is at all-time-highs, while institutional investors have cash at low levels (7:27);
- What about the economic fundamentals, which are mostly in good shape? (10:09);
- The Fed actually has credibility when it comes to tightening interest rates -- and is not just 'jawboning' the market (12:58);
- This is partly because the Fed does a lot more communicating than it has in the past (16:40);
- Inflation has likely peaked and will start to slow, though not by enough to let the Fed ease rates (24:02);
- Background on the guest and 'origin story' for Invictus Research (26:54);
- What part of the business cycle are we in now? (33:23);
- What does that mean for asset classes? (35:34);
- ARK Innovation ETF (ARKK) "has been a terrific place to look for shorts -- quick discussion of Cathie Wood and her predicament" (38:03);
- Bonds will become an opportunity when the Fed 'breaks something' and there are indications that may be happening now (40:40);
More Information on the Guest:
- Twitter: @InvictusMacro;
- Website: Invictus-Research.com.