( CNBC ) The economy added 313,000 jobs in February, crushing expectations, while the unemployment rate remained at 4.1 percent, according to a Labor Department report Friday that could help quell inflation fears.
Economists surveyed by Reuters had been expecting nonfarm payroll growth of 200,000 and the unemployment rate to decline one-tenth of a point to 4 percent.
An increase in the labor force participation rate to its highest level since September helped keep the headline unemployment number steady, as the number of those counted as not in the workforce tumbled by 653,000 to just over 95 million.
The total counted as “employed” in the household survey surged by 785,000 to a record 155.2 million.
A separate measure that takes into account those out of the workforce and the underemployed — sometimes referred to as the “real” unemployment rate — held steady at 8.2 percent.
- Fake quotes for the S&P 500 index SPX, +0.26% are skewing levels of the Cboe Volatility Index VIX, -2.50%
- The flaw allows trading firms with sophisticated algorithms to move the VIX up or down by simply posting quotes on S&P options and without needing to physically engage in any trading or deploying any capital.
One of the most popular measures of volatility is being manipulated, charges one individual who submitted a letter anonymously to the Securities and Exchange Commission and the Commodity Futures Trading Commission.
The letter makes the claim to regulators that fake quotes for the S&P 500 index SPX, +0.26% are skewing levels of the Cboe Volatility Index VIX, -2.50% which reflects bearish and bullish options bets 30-days in the future on the S&P 500 to gauge implied stock-market volatility (see excerpt from the letter below).
|The flaw allows trading firms with sophisticated algorithms to move the VIX up or down by simply posting quotes on S&P options and without needing to physically engage in any trading or deploying any capital. This market manipulation has led to multiple billions in profits effectively taken away from institutional and retail investors and cashed in by unethical electronic option market makers.|
The whistleblower’s claims are consistent with those documented by John Griffin, professor of finance at the University of Texas and Ph.D. candidate Amin Shams in May 2017 in research that says the cost of manipulating less-liquid SPX options would be more than paid for by a successful bet on the direction of the VIX. The paper is consistent with the whistleblower’s conclusion—that manipulators are moving prices of the SPX options by spoofing at settlement—entering quotes for trades that are never executed—to “paint the tape” and, therefore, influence the value of expiring VIX derivatives.
- The 30-stock index has surged more than 31 percent since Trump’s inauguration.
- That marks the index’s best performance during the first year of a president since Franklin Roosevelt.
- “You’ve got lower taxes, less regulation and confidence in the economy is high,” said one investor.
- The S&P 500 has surged 23 percent during Trump’s first year in office.
Donald Trump lifted the Dow Jones industrial average in his first year in office more than any other president since Franklin Roosevelt.
The Dow has surged more than 31 percent since Trump’s inauguration on Jan. 20, 2017. That marks the index’s best performance during a president’s first year since Roosevelt. The Dow skyrocketed 96.5 percent during Roosevelt’s first year in office
“This is all about policy,” said Bruce Bittles, chief investment strategist at Baird. “You’ve got lower taxes, less regulation and confidence in the economy is high. Things are firing on all cylinders.”
Trump quickly moved to cut regulations enacted by previous administrations. He also successfully pushed to overhaul the U.S. tax code. That revamp included slashing the corporate tax rate to 21 percent from 35 percent.
“Donald J. Trump is for sure responsible for the stock market. I don’t see how Barack Obama can take credit for the stock market during [the] Trump [presidency], because the stock market is always forward looking, not backwards looking, and it tells us what will be, not what has been and this market has been great.” — Art Laffer, former economic adviser to President Ronald Reagan
TRUMP’S BULL MARKET IS MORE POWERFUL THAN THE LATE 90s – SAYS RALPH ACAMPORA, GODFATHER OF TECHNICAL ANALYSIS
- The godfather of technical analysis, Ralph Acampora : “This is a market that’s more powerful than the late ’90s. I’m not sitting in a chair anymore. I’m sitting in a rocking chair,” he told CNBC’s “Futures Now” on Tuesday — adding that the “chair was about to explode.”
Stephanie Landsman 10 Jan 2018
( CNBC ) The godfather of technical analysis is a raging bull, and he’s becoming even more vocal about it.
Last week, Ralph Acampora said he was so bullish he had to sit down and calm down.
“I’m not sitting in a chair anymore. I’m sitting in a rocking chair,” he told CNBC’s “Futures Now” on Tuesday — adding that the “chair was about to explode.”
The S&P 500 is seeing its strongest six-day win streak in 31 years. That index, along with the Nasdaq, just registered its sixth all-time closing high of 2018. The Dow has clocked four record closes.
“This is a market that’s more powerful than the late ’90s,” said Acampora.
Altaira Capital Partners’ Acampora, who calls himself “the godfather of technical analysis,” contends an impressive rotation is firmly gripping the market — a vital element of any strong bull market.
“The last six days have been phenomenal,” he said. “Foreign markets are on fire, too. It’s all over the world.”
He points to a simple chart that illustrates the breadth of the rally. According to Acampora, the NYSE advance-decline line reflects just how vibrant the stock market is right now.
“We technicians look at the breadth of the market. That’s the advances and declines,” he said. “It just tells you the direction of the move. And you look at that picture, and the majority of stocks are moving up. To me, that’s broad-based advance and it makes me very, very encouraged.”
BANK of AMERICA: A ‘big money indicator’ is pointing to more record highs for stocks throughout 2018
( CNBC ) If you’re worried about the market’s record run coming to an end, one Bank of America strategist says fear not— because there’s a strong technical case for a rally through 2018.
According to Stephen Suttmeier, chief equity technical strategist at Bank of America, the advance-decline line of the S&P 500 Index has broken out in the last month, and points to more gains ahead.
The advance-decline line essentially tracks the moves of the 15-most heavily traded stocks by share volume. Based on Suttmeier’s chart work, a breakout of the line shows that the most-traded stocks in the market are seeing a large number of buyers.
“The bottom line is this: it’s a big money indicator, and last year this big money indicator didn’t confirm the rally until it broke out in December of 2017,” Suttmeier explained to CNBC’s “Futures Now” in an interview last week.
Dow rises 5,000 points in a year for the first time ever
- This is the biggest annual-points gain for the Dow in its history.
- A 200-point rally Monday sent it to an all-time high and pushed it to the 5,000-point milestone.
- “It’s getting a bit extended, but I think it has more room to run,” says MKM Partners’ Jonathan Krinsky.
The Dow Jones industrial average just did something it has never done in its 121-year history.
The 30-stock average is now up more than 5,000 points in a year, marking its biggest annual-points gain ever. This following a 200-point rally Monday which sent it to an all-time high.
The Dow was also on track Monday to post 70 record closes in a year for the first time. To put that into perspective, about one of every four trading sessions this year has been a record close for the index.