Good morning,
Markets continue their sideways consolidation while very slowly moving higher. Yesterday the S&P 500 moved within four points of an all-time high and then quickly reversed. I thought it was going to push through but the price action made sense. It usually takes a few tries before breaking an all-time high. While the overall market moved sideways, I noticed a lot of the stocks that I own moved higher. Today could be a repeat while I watch S&P futures move higher. On the economic front, so far 22 States have eliminated their enhanced unemployment benefits and what do you know, workers are heading back to work. The good news is that their wages are higher. So it seems that higher wages for services may be around for some time to come. Yep, that is real inflation but there is still way more deflationary activity in the global economy and after all of the supply disruptions are over, we will again be fighting disinflation again. Just give it a year or two.
