- Moving the market
The markets opened slightly higher again today, echoing yesterday’s start, but didn’t show much follow-through as traders stayed cautious, waiting for more clarity on U.S.-China trade talks.
The discussions in London rolled into a second day, with Commerce Secretary Lutnik sounding optimistic, saying things are “going very well” and that both sides are spending a lot of time together.
Still, traders are hoping for more than just friendly chatter—they want to see real progress, especially around reducing tariffs, not just pausing them like last month.
For now, it seems like some dialogue is better than none, but whether it’s moving the needle is still up in the air.
Trading stayed mostly rangebound, with the S&P 500 and Nasdaq bouncing around but leaning higher into the close, helped by another short squeeze.
Midday, the 10-year yield spiked briefly after Trump warned that Iran is becoming “much more aggressive” in nuclear talks, but yields, the dollar, and gold all ended the day pretty much flat.
Gold managed a tiny gain, while Bitcoin made a late-day surge toward the $110K mark, and Ethereum climbed to its highest level since mid-February.
Now, all eyes are on tomorrow’s CPI report.
Will inflation come in cooler than expected—and give the market something real to rally on?
2. Current domestic “Buy” Cycle (effective 5/20/2025); International “Buy” Cycle (effective 5/8/25)
Our domestic bullish cycle that began on November 21, 2023, concluded on April 3, 2025, following a market downturn triggered by President Trump’s tariff policy announcement.
This development caused significant declines across major indexes and broader market indices. However, markets subsequently rebounded, culminating in a new domestic “Buy” signal taking effect May 20, 2025.
Concurrently, our International Trend Tracking Index (TTI) experienced parallel volatility. On April 4, 2025, it breached critical thresholds, prompting a “Sell” recommendation. This position reversed as global markets recovered, with the International TTI regaining sufficient momentum to issue a new “Buy” signal effective May 8, 2025.
3. Trend Tracking Indexes (TTIs)
Most major indexes kicked off the day on a strong note—except for the Dow—and kept that positive momentum going, even with a few bumps along the way.
Our TTIs followed suit, staying in the green and locking in another solid close.
This is how we closed 06/10/2025:
Domestic TTI: +2.07% above its M/A (prior close +1.56%)—Buy signal effective 5/20/25.
International TTI: +7.12% above its M/A (prior close +6.66%)—Buy signal effective 5/8/25.
All linked charts above are courtesy of Bloomberg via ZeroHedge.
———————————————————-
WOULD YOU LIKE TO HAVE YOUR INVESTMENTS PROFESSIONALLY MANAGED?
Do you have the time to follow our investment plans yourself? If you are a busy professional who would like to have his portfolio managed using our methodology, please contact me directly to get more details.
Contact Ulli