Financial Markets Seeking Stability with Nick Santiago (Ep #480)

April 02, 2023

For more than 20 years, Master Trader Nick Santiago has been beating the markets. He’s made some incredible calls along the way and now he’s looking to spread the word. There’s no reason that the average trader should be coming up short. So now we’ve started a daily show to bring you up to date on the latest market developments. Nick will be sharing trades and concepts and discussing current trends.

Today:

1. The PCE Price Index rose 0.3% in February following a 0.6% increase in January. Expectations were 0.4%, so this was a little softer. Investors are now thinking the Fed may start to get more dovish. The core-PCE Price Index, which excludes food and energy, is the Fed’s preferred inflation gauge. The markets have rallied this week and are holding up again this morning.

2. According to Bloomberg, Chinese regulators are now conducting a cybersecurity review of MU products. I have to chuckle at this news. Will this start the chip wars and signal a new phase of tensions between the US and China? Of course it will.

3. The financial stocks have to be followed like a hawk these days. today, the financial stocks are slightly positive. Many investors are waiting for another show to drop, but that has not happened yet and the central banks have done a lot to keep the liquidity in these banks.

4. Gold is basically flat today, but it has not really backed off much lately. In my opinion, gold is the new VIX. While I believe it is overbought at this time we must understand that fear is the strongest emotion in trading next to greed and gold is up in fear.

5. Bitcoin is holding up well again. I still think it could more up a bit more on the daily chart, bit after this run is over the down turn should be back in play.

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