D&D Note (2.26.2018) ~ Markets Rally Ahead of FED Chair Testimony ~
American markets saw a nice lift today on a broad based rally. This comes a day ahead of the new FED Chair J. Powell’s first testimony in front of congress. The direction of the market going forward in the near term will be heavily tied to what the FED Chair says in both his statement and the Q&A.
If we see concern over inflation, bubbles, government spending, or an over heated economy we will see equities reverse and look to retest lows. If Powell walks the Janet Yellen line we could see markets further advance to retest the recent highs.
The prepared statement comes out at 8:30 EST and the testimony begins at 10:00 EST.
We are looking at our portfolio and where we are prepared to take gains or cut losses in the case the market does reverse on the FED.
A few stocks hit all time highs today including Amazon. These would be targets for profit taking. Positions in which we are overweight are also profit targets (even if they haven’t fully recovered in price). New cash raised by D&D will be redeployed into furthering our diversification strategy.
Warren Buffet made a lot of news today in his interview. Ranging from why he likes Apple, to how GE is a nightmare, to him pondering buying an entire airline. The company he runs Berkshire Hathaway was our largest percentage gainer on the day (BRK.B).
D&D movers:
– BRK.B up 3.88%
– DIS up 2.39%
– AAPL up 1.98%
– BA up 1.91%
– EMHTF down -7.82%
– APHQF down -6.96%
– IMLFF down -5.75%
– CNTTF down -2.80%
Indexes
– DOW up 1.58%
– NASDAQ up 1.15%
– S&P up 1.18%
Sector Movers:
– Telecom up 1.82%
– Technology up 1.58%
– Financials up 1.51%
– Utilities down -0.34%
Notes
– US 2-YR 2.226% (down -0.016)
– US 10-YR 2.864% (down -0.007)
– US 30-YR 3.156% (down -0.004)
Volatility
– VIX 16.03 (down -2.79%)
Crypto (1:00 PST)
– BTC $10,266.00
– ETH $860.21
– BCH $1,242.87
– LTC $220.55
Metals
– Gold $1,335.20 up 0.37%
– Silver $16.595 up 0.67%
– Copper $3.199 down -0.42%
Energy
– Oil $63.99 up 0.69%
– Brent $67.56 up 0.37%
– Nat Gas $2.639 up 0.53%
D&D Investments 
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