…

1. 10-Year Treasury Yield & Fed Cutting Cycles: What to Expect

Gundlach spent much time discussing December’s big yield curve steepening — when rates on longer-term bonds rise more than shorter ones. Roiling stocks, the 10-year and 30-year Treasury notes have been flirting with 5% levels amid concerns over inflation, a strong economy and fewer rate cuts in 2025. He notes that during past Fed cutting cycles, the 10-year Treasury has never gone up, yet now it has by 100 basis points. “Something is different this time,” he adds.

…

2. 30-Year Mortgage Rates Up 7%

This chart shows massive outperformance of Argentina ETF ARGT vs. Brazil EWZ.

…

3. Higher Rates and Small Cap Stocks

Bespoke Investment Group on R2K vs. 200DMA. The Russell 2000 traded below its 200-day moving average (DMA) on an intraday basis Monday, ending what was the index's sixth streak of a year or more without trading below that level. Following the end of each of the five prior streaks, the Russell 2000 was higher a year later with a median gain of 13.45%.

…

4. Worst to First-Energy and Healthcare

That is particularly true for the S&P 500 energy sector. It is the top-performing sector-year to date, with the Energy Select Sector SPDR Fund ,an ETF that more or less tracks the S&P 500 energy sector, up 5.4% through Monday’s close, according to Healthcare stocks were in second, up 2.8% year-to-date, while the materials sector — last year’s worst performer — was up 1.2% through Monday. Both the healthcare Select Sector SPDR ETF and the Materials Select Sector SPDR ETF have seen similar performance.

…

5. These Sectors Are Helping The Equal Weight S&P Hold 200-Day

…

6. All Wall Street Strategists are Bullish

…

7. Goldman Good Number Today…Double in Stock from Late 2023

…

8. Marc Andreessen on China Manufacturing

…

9. Stats on American Couples & Marriage

…

10. You Make the Job; It Doesn’t Make You 

From the Daily Stoic Blog: There was once a promising young Greek politician named Epaminondas whose rise threatened some more established leaders (his full story in Right Thing, Right Now). As a way to blunt his potential, they ‘promoted’ him to a job overseeing the city’s sewers and water.

It was supposed to be a humiliation—or at the very least, a dead end job. Instead, he did such a good job, he endeared himself to the population. With discipline and earnestness, Plutarch wrote, “he proceeded to transform that insignificant office into a great and respected honor, even though previously it had involved nothing more than overseeing the clearing of dung and the diverting of water from the streets.”

Whatever we do, if we do it well, is noble. We told a related story in the Daily Dad email recently from Toni Morrison. She came home one day complaining about her job cleaning someone’s house to her father. She expected him to get angry on her behalf or to pity her. Instead, he said, “Listen. You don’t live there. You live here. With your people. Go to work. Get your money. And come on home.”

What he was teaching her, Morrison later wrote, became a set of principles she based her life around.

1. Whatever the work is, do it well—not for the boss but for yourself.

2. You make the job; it doesn’t make you.

3. Your real life is with us, your family.

4. You are not the work you do; you are the person you are.

What’s in our control is how we do the job. What’s in our control is who we are while we do the job. Whether it’s appreciated, whether it’s an impressive or a lowly job, whether a project succeeds or fails–that’s not up to us. What’s up to us is that we do our best, what’s up to us is that we are the best we’re capable of being.

The rest? The Stoics say is not worth worrying about.

…

Disclosure

Indices that may be included herein are unmanaged indices and one cannot directly invest in an index. Index returns do not reflect the impact of any management fees, transaction costs or expenses. The index information included herein is for illustrative purposes only.

Material for market review represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results.
Material compiled by Lansing Street Advisors is based on publicly available data at the time of compilation. Lansing Street Advisors makes no warranties or representation of any kind relating to the accuracy, completeness or timeliness of the data and shall not have liability for any damages of any kind relating to the use such data.

To the extent that content includes references to securities, those references do not constitute an offer or solicitation to buy, sell or hold such security as information is provided for educational purposes only. Articles should not be considered investment advice and the information contain within should not be relied upon in assessing whether or not to invest in any securities or asset classes mentioned. Articles have been prepared without regard to the individual financial circumstances and objectives of persons who receive it. Securities discussed may not be suitable for all investors. Please keep in mind that a company’s past financial performance, including the performance of its share price, does not guarantee future results.

Lansing Street Advisors is a registered investment adviser with the State of Pennsylvania.