Today's Chart

Corporate profits in the USA are down 3.6% year-over-year for the second quarter in a row...


The stock market rarely ignores drops in profits. This isn't a catastrophe, but the Talking Heads have their lines ready, "We were primed for a healthy pull-back."

The markets pulled back markedly last August, and again in January/February. I think they are guaranteed to pull back as soon as the US Fed raises rates in June.  They may recover yet again after that, but is this the start of a yo-yo market that eventually ends in a significant, long-term pull-back?

What could possibly go wrong???