TLP Takes On The Wall Street Bears

Due to the fact we have historically low short-term and long-term interest rates, I have been bullish the stock market for all of 2016. I have been looking for new all-time highs and we got them, but now I am looking for lower prices into mid-August.

I am looking for a better than expected Payrolls number on Friday. I am also thinking a better than expected Payroll number will put a September rate hike back on the table. Talk of a possible rate hike will keep a well overbought stock market under pressure.

Unlike all the perma-bears who are looking for a market crash and the world coming to an end, I am looking for a place to get long again. Please remember; when the Fed raises the Fed Funds rate from historically low levels to historically low levels, this is not long-term bearish. This is instead a buying opportunity.

Posted below is a monthly 30-year cash bond chart. This is the reason I think Wall Street will continue to head much higher. Wall Street has always loved low interest rates. A 30-year at 2.25% is trading at historically low levels.

I did an interview discussing my views with David J. Scranton which will be aired on Sunday, August 7 at 10 am Eastern Time. The show is The Income Generation. Here is the link to the site.


Tony LaPorta

Tony LaPorta Futures Maven

Tony LaPorta has been active in the futures industry for over 36 years including membership at the Chicago Mercantile Exchange (CME) and the London International Financial Futures Exchange (LIFFE). Tony is an ex pit-trader turned screen-trader.

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