Wall Street experienced its own version of Hurricane Debby due to sector and stock rotation, position unwind, seasonal headwind, economic and EPS growth concerns, geopolitical concerns, machine trading, liquidity concerns, and widening credit spreads (Figure 1).

The Portfolio continues to invest in companies producing excess returns through positive economic profitability, supported by solid balance sheets (quality), significant cash generation (profitability), & trading w/ considerable margins of safety (valuation). We believe these factors will continue to provide rational opportunities for the foreseeable future.

We are monitoring economic growth closely, as that is the driving force behind the recent decline (among myriad other factors). The quantitative, unemotional outlook confirms that economic growth is decelerating but still positive overall. Inflation pressures continue to diminish. The model is positive, and we are aligned with the message. If our models shift to bearish levels, we will raise cash.

The Catastrophic Stop model combines time-tested, objective indicators designed to identify high-risk periods for the equity market. The model held steady during July and entered August with a fully invested equity allocation recommendation.

The Catastrophic Stop model combines time-tested, objective indicators designed to identify high-risk periods for the equity market. The model held steady during July and entered August with a fully invested equity allocation recommendation.

The Catastrophic Stop model combines time-tested, objective indicators designed to identify high-risk periods for the equity market. The model held steady during July and entered August with a fully invested equity allocation recommendation.

The Catastrophic Stop model held steady at 82.9%, the same level as last week. The majority of Internal and External indicators remain bullish.

This presentation discusses the current financial market trends, stock market corrections, Small Caps, sentiment, The Great Unwind, International and Emerging markets, seasonality, and more. Financial advisors are encouraged to watch this presentation replay for a comprehensive understanding of the market trends and indicators.

The Catastrophic Stop model increased to 82.9% from 77.9% last week. The Internal and External composites are bullish.

The Catastrophic Stop model declined to 77.9% from 82.9% last week. The Internal and External composites are bullish.

Wall Street veteran Ralph Acampora has said, “Rotation is the lifeblood of any bull market,” an apt description of the domestic equity market last week.

The Catastrophic Stop model increased to 82.9% from 77.9% last week. The Internal and External composites are bullish.

The “Index Movers” continue to play a major role in driving the Large Cap Growth/Technology-oriented domestic equity market indices higher, pretty much at the expense of everything else. Consequently, what price levels can help us discern when a turn lower by the Index Movers leads to a reversal by Large Cap Growth indices and another time or price correction—relative or absolute basis?

The Portfolio continues to invest in companies producing excess returns through positive economic profitability, supported by solid balance sheets, significant cash generation, & trading with considerable margins of safety. These factors will continue to provide rational opportunities. The Portfolio is focused on outperformance, seeking higher total returns with lower volatility.

The Catastrophic Stop model combines time-tested, objective indicators designed to identify high-risk periods for the equity market. The model held steady during June and entered July with a fully invested equity allocation recommendation.

The Catastrophic Stop model combines time-tested, objective indicators designed to identify high-risk periods for the equity market. The model held steady during June and entered July with a fully invested equity allocation recommendation.

The Catastrophic Stop model increased to 77.9% from 70.7% last week. The Internal and External Composites are positive.

As we recognize and celebrate the birth of our wonderful nation later this week, I think back to one of the things I have learned over four-plus decades on Wall Street.

The Catastrophic Stop model combines time-tested, objective indicators designed to identify high-risk periods for the equity market. The model held steady during June and entered July with a fully invested equity allocation recommendation.

This presentation discusses the current financial market trends, the Catastrophic Stop Model, global markets, sentiment, sector allocations, the U.S. dollar, index movers, seasonality, and more. Financial advisors are encouraged to watch this presentation replay for a comprehensive understanding of the market trends and indicators.