Unlike oil, physical products in agricultural markets become useless in time. Hogs and cattle cannot be stored indefinitely for a variety of reasons.
The S&P 500 is currently trading at about 2,800. If earnings fall by an average amount, the index could drop another 22%.
With its deep insight into the state of economy, used car prices are a great response if you ever find yourself at an economist’s party playing “desert island indicator.”
The current reading of the Baa-Treasury spread, the dashed line, is consistent with a recession. The chart shows there were no false signals in the past 20 years.
Based on history, we should expect slow growth and high unemployment until at least this fall.
Enter your username and password below
