Is the small cap rally back on track? Too soon to say, but the trend continues to look encouraging, at least relative to the downside bias in the month through mid-July.
The directional bias for US economic activity continues to skew slightly negative, based on CapitalSpectator.com’s Macro Trend Index (MTI). Although the economy is still expanding at a solid pace, MTI still indicates that a downside bias persists for the directional trend. The negative tilt, however, is fractional and so the overall signal remains in neutral terrain.
* Pandemic puts tens of millions around the world on the brink of famine
* Delta variant threatens the US labor market rebound
* Infrastructure bill estimated to add $256 billion to US deficit
* Biden wants half of US cars sold by 2030 to be electric or hybrid
* Bond rates are falling and yield curves are flattening around the world
* Will Fed plans for a digital currency eventually displace crypto?
* US trade deficit widened to a record in June
* US jobless claims fell last week, close to pandemic low:
