As for the stock market specifically:
I didn’t get into it last week, but the combination of stock and bond market movement over the first half of the year resulted in the worst first half since the 1970s. I wasn’t an investor in the early 1970s, but that is what the tale of the tape tells us.
This week starts earnings season, so that will present its own set of complications for some companies. Stay tuned.
One interesting aspect of this year is that nearly every asset class has its turn to get beaten up. We also are now in the notoriously finicky third quarter, where we have many stories of things going awry.
The indicators moved higher and changed up last week. I have to say I am sorry for not updating them correctly last week. The numbers did improve since the holiday last week. WEALTH ACCUMULATION mode continues.
Remember, Xs mean OFFENSE or wealth accumulation, while Os mean DEFENSE, or wealth preservation.
Below is where our indicators stand as of July 8, 2022 (Courtesy Dorsey, Wright, and Associates).