Cumberland Advisors Week in Review (Feb 01, 2021 – Feb 05, 2021)

The Cumberland Advisors Week in Review is a recap of news, commentary, and opinion from our team.

Market Commentary - Cumberland Advisors - Week in Review - Saturday Recap 2021

These are not revised assessments, and circumstances may have changed in the market from the time of original publication. We also include older commentaries that our editors have determined may be of interest to our audience. Your feedback is always welcome.

CUMBERLAND ADVISORS’ WEEKLY RECAP

As part of Cumberland Advisors’ continuous effort to maintain strong customer relationships, we offer this week’s short video discussing current market conditions and how we are positioning portfolios.


 

John Mousseau & Fixed Income / Munis

-Bond Yields higher this week- John details the “why” behind the numbers
-Employments numbers are not where we’d like yet still positive
-Positive Yield Curve
-Muni Bond Yields this week were flat, John adds some color
-John talks about inflation and what’s behind projections
-John will be presenting at the MoneyShow next week, Feb 16th 2pm-4pm EST with a talk titled “Bond Markets through the Pandemic, the Election, and into 2021.” Learn more here: https://buff.ly/2LpDFxJ

 


John Mousseau talk titled "Bond Markets through the Pandemic, the Election, and into 2021"

Matt McAleer & Equities / ETFs

-Seeing strength across the board this week
-Many emails and calls in response to our update last week
-Matt recaps the importance of last week’s events and where we are today
-Is any of this new? Matt takes us through some history and fundamentals he feels you should take to heart.
-What things will cause you trouble?
-What’s your enemy in trading?
-If anything is foreign to you that Matt mentions, email him for details
-Who is “The Man” mentioned so often in forums about Wall Street and the Trading World?
-Matt leaves us with “Focus on the markets, focus on your capital.”

Please reach out with any questions/comments you may have about this update; we appreciate your calls, comments, and emails. Watch in the player above or at this link: https://youtu.be/If3bXB-LEVw

Have a great weekend
-Matt McAleer & Cumberland Advisors

Send your feedback from today’s email/video to Matt. You can reach him at:
-Link to Matt’s Email: Matthew.McAleer@Cumber.com
-Link to Matt’s Twitter: https://twitter.com/MattMcAleer4
-Link to Matt’s LinkedIn: https://www.linkedin.com/in/matthew-c-mcaleer/
-Call Matt: (800) 257-7013Other questions or comments? Email us at info@cumber.com or give us a call at (800) 257-7013.

Contact Matt or any one of our advisors by following this link: https://www.cumber.com/our-people/


CUMBERLAND COMMENT: Municipal Credit 2020 & Beyond
by Patricia Healy – Herald Tribune – Feb 01, 2021

In the depths of the muni market plunge back in March, many feared that the sky had fallen and that municipalities would not be able to manage their services and debt repayment.

The initial fall in prices was due to a collapse of liquidity, when muni money market funds had no one to sell to – until the Fed stepped in. Concern lingered because no one knew what the pandemic would bring. The Cumberland Despair Index combines the COVID-19 infection rate of a municipality with its unemployment rate – and in some cases this is a big number. The index highlights possible stress and helps to direct our analysis.

Those who are familiar with the municipal market know that municipalities are resilient and have tools to manage through a crisis. Additionally, by means of the CARES Act, the federal government stepped in to support the increased costs of the pandemic and to provide additional relief to businesses and individuals to “get over the hump.”

Continued at the Herald Tribune: https://www.heraldtribune.com/story/business/briefs/2021/02/01/patricia-healy-municipal-credit-2020-and-beyond/4261819001/


Cumberland Advisors Market Commentary

Cumberland Advisors Market Commentary offers insights and analysis on upcoming, important economic issues that potentially impact global financial markets. Our team shares their thinking on global economic developments, market news and other factors that often influence investment opportunities and strategies. Our readers appreciate its timeliness, depth of analysis, and quality of research.

Read current and past commentaries here: https://www.cumber.com/category/market-commentary/


GameStop & SKEW!

Authors: Leo Chen Ph.D., David R. Kotok, & Matthew McAleer – Feb 1, 2021

Market Commentary - Cumberland Advisors - GameStop & SKEW!

There were two unusual events last week. One made massive headlines; the other flew under the radar. Unless an investor was on a Martian vacation, it was impossible to avoid the media battering that featured keywords like GameStop, Reddit, Robinhood, Citron, and WallStreetBets. And there was a cash requirement from brokers by DTCC, the stock […]


Veterans, Markets, & Impeachment

Author: David R. Kotok, Post Date: January 31, 2021

Market-Commentary-Cumberland-Advisors-David-Sunday-Veterans, Markets & Impeachment

We do not expect financial markets to be influenced by the coming Senate impeachment trial. It appears that most market agents expect the outcome to be a repeat of history, where the two-thirds threshold of a Senate conviction vote is not reached. If it is reached, there may be some market reaction; but we think […]


FOMC, January 2021

Author: Robert Eisenbeis, Ph.D., Post Date: January 29, 2021

Robert Eisenbeis

To no one’s surprise, the FOMC kept its target range for the federal funds rate at 0–.25% and reaffirmed that it will continue adding to its portfolio at the rate of $120 billion per month, in a mix of at least $80 billion in US Treasuries and $40 billion in agency MBS. The Committee’s statement […]


ERP & The Stock Market

Author: David R. Kotok, Post Date:

CA-David-Kotok-Bio-2021

The tall man eats dinner every Tuesday at the same restaurant on 58th St. in NY. He loosens his bowtie after working late on Tuesday nights; he sits at his usual table; he orders the usual meal from the same waiter who has served him for the last 14 years. The waiter, Demetrius, brings the bowl […]


The Polar Vortex Is Coming To A State Near You!

Author: Bob Bunting, Post Date: January 28, 2021

Climate Adaptation Center

At Cumberland, we pay attention to weather trends and phenomena since severe weather and the destruction left in its wake can affect municipal bonds and reconstruction efforts may result in new bond offerings to meet repair and improvement costs. Bob Bunting, CEO of the Climate Adaptation Center (CAC), has given us permission to share his […]


COVID Legal liability & Markets

Author: David R. Kotok, Post Date: January 26, 2021

Market Commentary - Cumberland Advisors - COVID Legal liability & Markets

The political debate over COVID-related liabilities of businesses is intense. Companies want a federal shield, which McConnell-McCarthy haven’t been able to get for them. Trial lawyers want an open target, which Pelosi-Schumer haven’t been able to get for them. A bipartisan Senate group was trying to broker a compromise. (“No Agreement on Covid-Aid Liability Reached,” […]


US vs. China – Competition vs. Conflict

Author: William Witherell, Ph.D., Post Date: January 25, 2021

Market Commentary - Cumberland Advisors - US vs. China – Competition vs. Conflict

China’s economy grew at a 6.5% year-over-year rate in the fourth quarter, bringing growth for the full year 2020 to 2.3%. China’s was the only major economy to expand last year, despite the outbreak of the pandemic and the related economic shutdowns early in the year in China. That positive growth compares with a 3.5% […]


Palindromes

Author: David R. Kotok, Post Date: January 24, 2021

Market-Commentary-Cumberland-Advisors-David-Sunday-Palindromes

When I was in the first grade, my teacher said, “David, do you know what you are?” She was reading my last name. In the second grade, the same thing happened. By the fifth grade, I could deliver the lecture: “I’m a palindrome.” The word originates with the Greek palindromos, which means running back again. […]


Week in Review (Jan 18, 2021 – Jan 22, 2021)

Author: Cumberland Advisors, Post Date: January 23, 2021

Cumberland-Advisors-Market-Update-20210122

The Cumberland Advisors Week in Review is a recap of news, commentary, and opinion from our team.


Fed Attack Responses

Author: David R. Kotok, Post Date: January 21, 2021

Fed Attack Responses

Fed Attack Responses We promised we would present responses to our “Attack on the Fed” discussion (https://www.cumber.com/cumberland-advisors-market-commentary-attack-on-the-fed-market-reaction-a-one-day-saga/). But before we do, we must offer an apology to Senator Pat Toomey, whom we criticized in that commentary for appearing to attempt to limit the Federal Reserve’s emergency lending authority. The back story reveals that Senator Toomey […]


Cash!

Author: David R. Kotok, Post Date: January 19, 2021

CA-Market-Commentary-Cash-by-Kotok We would like to suggest that readers take time to read Josh Brown’s December 29 column at The Reformed Broker, “How to avoid bear markets” (https://thereformedbroker.com/2020/12/29/how-to-avoid-bear-markets/). We thank Josh’s colleague Barry Ritholtz for including it in the daily Ritholtz Reads column. Here’s a summary excerpt from Barry Ritholtz’s daily column (January 2, 2020): “There’s a very simple way […]


A message from David R. Kotok…

Frontline Nurses: The USF Program & Why To Do It

Now, there’s a new USF (University of South Florida) program for nurses, “Frontline Nursing During COVID-19: A New Paradigm,” is coming online. It includes four webinars and focuses on helping nurses, who dedicate their careers to caring for others, to take care of themselves in the midst of and beyond the crisis.

The program is free for any nurse anywhere in the world and especially in the United States. It was developed by the USF College of Nursing. It will give nurses continuing education credits, and it will do so at zero cost to the nurses who sign up.

Here’s the program link and the details: https://health.usf.edu/nursing/frontline-nursing

Cumberland Advisors - Frontline Nurses - The USF Program and Why To Do It

Please share the link and spread the word about this program. We want to protect our nurses. We want them alive and healthy. The ancient words apply: “If you save a single life, it is as if you have saved the entire world.” Join me, and let’s try to save nurses’ lives and patients’ lives, too.


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Cumberland Advisors Market Commentaries offer insights and analysis on upcoming, important economic issues that potentially impact global financial markets. Our team shares their thinking on global economic developments, market news and other factors that often influence investment opportunities and strategies.