Mike Zigmont, author of the Zigmont Report, is a partner at New York-based Harvest Volatility Management, a hedge fund with over $10B 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 and
do not necessarily represent those of Harvest Volatility Management, LLC.
3000 or bust. Equities today traded quietly. Capital flow was light at 90% and while Chairman Powell testified before the Senate Banking Committee today, the news that came out of that was thin. We didn’t learn anything today that we didn’t know yesterday. There was a little bit of hotter CPI data today but while it spooked the bond market, equities didn’t care. June CPI was +0.1% vs +0.0% est & +0.1% prior. Ex-food and energy was +0.3% vs +0.2% est & 0.1% prior.
Who knows whether this is the beginning of inflation or just a blip. The equity investors today played what looks like a technical game today and tried to get the S&P up to 3000. It was there in the morning, fell back, returned for lunch, fell further back, and then made a surge just before the close. Nobody out there thinks 3000 is a magical number but the market sure seems to want to go there.
See you tomorrow. -Mike
