The State of the Markets…’Bricks and Mortar’ or ‘Bricks and Morbid’…and the Banks!

I love this quote I read the other day:

One man came to Mozart and asked him how to write a symphony.

You do not have to be Mozart to make money in the markets. You do not need to invent a new algorithm or have inside information.

It does really help to listen.

As usual, the fall season has brought some huge potential trend changes.

I have blogged on markets for almost ten years but this is the first time I will mention a ‘rate hike’. It is going to happen. I doubt it is the beginning of endless hikes and therefore will not be the end of the world.

Today, the markets actually rallied on the chatter.

This post from Charlie is incredible and worth reading. I agree with him.

Even Bank of America looks like a buy. General Electric is trading like it is Facebook.

I will stick with my boring bank ‘lookalikes’…Schwab (been adding a bit), Google and Apple. I still own some Interactive Brokers as well.

Quickly to retailers…

I was reading Mercenary Jack last night who called the retail sector ‘bricks and morbid’. I pay to read Jack.

Technically he’s right. It’s ugly.

Fundamentally he is right and wrong.

While the markets have punished most retailers and rewarded Amazon…Home Depot ($HD) and Autozone ($AZO) have continued to shine. The auto geeks and home geeks still prefer the physical world of retail.

It always makes sense in hindsight. If only…