Mike Zigmont Mike Zigmont, author of the Zigmont Report, is a partner at New York-based Harvest Volatility Management, a hedge fund with over $12B AUM, offering volatility management solutions to its investor base worldwide. Mike has been publishing his daily newsletter (Monday-Friday) privately for the firm’s investors and his personal contacts in the investment business

since 2008, sending it daily shortly after the market close.

The opinions expressed below are my own

Benign neglect. Investors weren’t very active today and the tape climbed just a bit. Capital flow was very light, even for a summer

Friday

, at 82%. This is more a bit more curious than usual because JPM announced their earnings today (they beat across the board). Also PNC, C, and WFC announced (only WFC disappointed). Only PNC closed higher among those four stocks by the way.

Question:

Why didn’t investors make moves now that the first big results of earnings season showed up?

Answer:

I can’t explain. Today’s handful of bank results might be getting ring-fenced by investors. The flattening yield curve has been a front-and-center issue for a while and the perception is that it’s bad for the banks. I can only assume that financials are being treated as separate from the rest of the market.

Considering how important tech and growth has been lately, it’s probably going to take the results of the big tech and big YTD performers to give the market a narrative for this earnings season.

Until then, things are quiet. Investors are sidelined. The tape still climbs.

See you

Monday

, have a great weekend,

-Mike