Derek Moore and Jay Pestrichelli, CEO of ZEGA Financial, follow up on last week’s PE ratio (useless?) discussion explaining how stocks go up or down based on earnings, multiples, and other factors.
ZEGA’s January 2024 Performance Numbers Release
New HiPOS Conservative Trade - Yesterday ZEGA’s traders capitalized on the resulting short-term rise in volatility due to Tuesday’s downturn.
Derek and Jay ask whether forward PE ratios are predictive of future market direction? Then they review how the S&P 500 Index has performed during each presidential election going back to 1996.
Derek and Jay discuss the Fed and Powell press conference market reaction. Plus, they look at META and Apple option’s implied volatilities did or didn’t predict the post earnings moves. 1994-95 experience in Fed rates and bond yields compared to today.
HiPOS Conservative Trade Update - Today the Fed did nothing but said something the market didn’t like.