
The Top Parasites

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Markets were apparently surprised by the hawkishness of the maiden voyage of the Warsh FOMC. Pre-FOMC we noted the following (per NFTRH 919 on June 14th):
Warsh was even firmer than anticipated. But the net result is the same. The new Fed head indicates he is serious about inflation, and with the public’s inflation expectations recently ramping that is not a surprise. CME Group was surprised as usual but immediately got busy pulling in its rate hike expectations after FOMC.
(more…)Time to thumb through some more fund charts. Let’s begin! We start with the NASDAQ 100 which, like so many others, has two prominent features: (a) the failure of the sharp uptrend that begin at the end of March (b) the establishment of what I believe is the first “lower high” that will define a new downtrend.

I hope everyone is enjoying the long weekend. Let’s look at a few important ETFs.
The Mexico country fund has broken its uptrend and has steadfastly stayed beneath it for many months (in spite of continuing to slog higher). I believe a trend change is in place and a clear downtrend will begin soon.
