by NelsonCorp Wealth Management | Dec 22, 2022 | Indicator Insights
Usually, when people think about money flowing into the stock market, they associate it with positive returns. However, as this week’s featured indicator shows, that isn’t always the case for exchange-traded products (ETFs). Specifically, asset flows into...
by NelsonCorp Wealth Management | Dec 15, 2022 | Indicator Insights
Relative strength is a powerful tool used to model stock market risk. It measures the performance of a security or group of securities to another group of securities to determine outperformance. For example, we like to look at the relative strength of low and...
by NelsonCorp Wealth Management | Dec 1, 2022 | Indicator Insights
The idea behind this week’s indicator is that corporate bond spreads can be used to anticipate changes in stock market earnings. This is because, historically, widening spreads are associated with economic weakness and poor earnings growth rates, while...
by NelsonCorp Wealth Management | Nov 17, 2022 | Indicator Insights
This week’s featured indicator uses the Reuters-CRB Continuous Commodity Index (CCI) to measure inflationary pressures and how that affects stock prices. The CCI represents the average price of 17 commodities. It includes many of the major commodities we are...
by NelsonCorp Wealth Management | Nov 10, 2022 | Indicator Insights
For this week’s indicator, we feature a chart showing the relative valuation of stock dividends and Treasury bond yields. The idea behind the indicator is that stocks and bonds compete for investor dollars. So by comparing their yields, we can get a sense of...
by NelsonCorp Wealth Management | Nov 3, 2022 | Indicator Insights
For this week’s indicator, I want to delve a little deeper into this idea of the money supply and how it affects the stock market. In general, we know that more liquidity is good for the stock market. However, the money supply—a component of liquidity—also...