We’ve been correctly positioned near our tactical portfolios’ equity minimums, yet we’re oddly compelled to use this month’s “Of Special Interest” section as a very public second-guessing of that move.
In our quantitative efforts, we typically find it more productive to use the financial markets to forecast the economy rather than the other way around. But there are exceptions...
Has recent Fed experimentation compromised the stock market’s “social function” as an economic forecasting tool?
Does a simple twist on the ISM Index produce an excellent stock market indicator?
With the new ISM figures for March, the Liquidity Index has moved into the maximum negative zone with a reading just below the bearish –20 threshold.