Solid, quiet support right now - coming out of the overbought that we hadn't seen on the S&P 500 since October 27. So, still some caution... It's not an issue with valuations that are the problem. It's any hiccups in liquidity that are directly tied to Treasury Auctions and Fed repo activity. Eventually these valuations will compress... but that seems to be something well into summer... For now, start looking at the consumer defensives and the commodity producers that you want to own. We're moving into a speculative phase in these markets.
Published Jan 08, 2026Updated Jan 08, 20262 min read
Solid, quiet support right now - coming out of the overbought that we hadn't seen on the S&P 500 since October 27. So, still some caution... It's not an issue with valuations that are the problem. It's any hiccups in liquidity that are directly tied to Treasury Auctions and Fed repo activity. Eventually these valuations will compress... but that seems to be something well into summer... For now, start looking at the consumer defensives and the commodity producers that you want to own. We're moving into a speculative phase in these markets.
