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This market is not exhausted by any stretch of the imagination

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This market is not exhausted by any stretch of the imagination: Tom Essaye Quoted in The Wall Street Journal

The Stock-Market Rally Is Moving Beyond Big Tech and Investors Are Thrilled

“As long as things can stay stable, then this market is not exhausted by any stretch of the imagination,” said Tom Essaye, founder of the Sevens Report, a market analysis firm.

Market breadth has improved as investors who missed out on tech stocks’ historic rebound search for new opportunities in different industries, Essaye said. He called it the “FOMO trade,” referencing the acronym for “fear of missing out.”

Also, click here to view the full article featured on The Wall Street Journal published on June 28th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

The recent advance toward record territory is “broad-based”

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The recent advance toward record territory is “broad-based”: Tom Essaye Quoted in Morningstar

Tech stocks are powering this record-setting rally on Wall Street – but how long can it last?

Tom Essaye, founder and president of Sevens Report Research, said that the new highs in the NYSE A/D line showed that the recent advance toward record territory is “broad-based,” and it should be considered “both historically healthy and likely sustainable.”

Also, click here to view the full article published in Morningstar on June 28th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Unknowns Are Weighing on the Markets

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What’s in Today’s Report:

  • Unknowns Are Weighing on the Markets

Futures are modestly lower as markets still wait for a decision on direct U.S. involvement in the Israel/Iran conflict.

The White House said the President will make a decision on U.S. involvement within two weeks, leaving a potential diplomatic window open.

Economically, UK retail sales were weaker than expected, falling –2.7% vs. (E ) 1.3% while German PPI met expectations (1.2% y/y).

Today focus will be on economic data and the two notable reports are Philly Fed (E: -1.0) and Leading Indicators (E: -0.1%).  As has been the case, the stronger these readings, the better for stocks (it pushes back against the slowdown narrative).

Reset the trade relationship back to where it was

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Reset the trade relationship back to where it was: Tom Essaye Quoted in Barron’s

Netflix and 6 More Winning Stocks to Sell Now

The White House now says that trade negotiations with China are over, even though the latest agreement from London “did little other than to reset the trade relationship back to where it was following the Geneva talks and, importantly, didn’t result in any further tariff reduction,” notes Sevens Report President Tom Essaye.

That means consumers will face at least 30% tariffs on Chinese imports and additional 25% on select goods and “according to the administration, they are going to stay there in perpetuity,” he notes. “Yes, ultimately Chinese tariffs were lower compared to the 145% absurdity in early April. But, they are much, much higher than at the start of the year.”

Also, click here to view the full article featured on Barron’s published on June 13th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Any materially positive or negative trade-talk headlines could meaningfully move markets

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Any materially positive or negative trade-talk headlines could meaningfully move markets: Sevens Report Founder, Tom Essaye Quoted in Swissinfo.ch

S&P 500 Gains as Lutnick Signals US-China Progress

“Any materially positive or negative trade-talk headlines out of London, where US and Chinese negotiations remain underway, could meaningfully move markets,” said Tom Essaye at The Sevens Report.

Also, click here to view the full article, published on June 10th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

This market is solidly above any fundamental valuation

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This market is solidly above any fundamental valuation: Sevens Report Founder, Tom Essaye Quoted in MarketWatch

Stock-market rally has pushed S&P 500 above ‘fundamental valuation levels’

“This market is solidly above any fundamental valuation and really only justifiable if we assume extremely positive resolution to the numerous risks facing this market and economy,” Tom Essaye, founder and president of Sevens Report Research, said in a note Tuesday. “The S&P 500 at these levels reflects a very optimistic view of how this all works out.”

The stock market faces the risk of tariffs slowing the economy and hurting corporate earnings, as well as concerns about inflation and the U.S. fiscal outlook, according to his note.

“The environment is much better than what was feared in April, but it’s still an environment with several distinct equity market headwinds, especially compared to the start of the year,” said Essaye. “While the rally is legitimate, the S&P 500 is solidly above fundamental valuation levels.”

Also, click here to view the full MarketWatch article, published on June 10th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

June Market Multiple Table (All About TACO)

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What’s in Today’s Report:

  • June Market Multiple Table Update – All About “TACO”

Futures are slightly higher this morning as traders remain optimistic about progress in the ongoing U.S.-China trade talks ahead of the May CPI release tomorrow.

Economically, the NFIB Small Business Optimism Index rose 3 points to 98.8 in May, topping estimates of 95.9 which is supporting modest gains in U.S. equity futures.

There are no additional economic reports today and no Fed officials are scheduled to speak which limits potential catalysts to today’s Treasury auctions which include 6-Week and 52-Week Bill auctions at 11:30 a.m. ET and a (more important) 3-Yr Note auction at 1:30 p.m. ET.

Late season earnings continue to trickle in as well with: ASO ($0.84), SJM ($2.25), UNFI ($0.24), GME ($0.08), and PLAY ($0.96) all due to report Q1 results today.

Bottom line, today is lining up to be fairly quiet as far as scheduled catalysts are concerned. However, any materially positive or negative trade talk headlines out of London where U.S. and Chinese negotiations remain underway, could meaningfully move markets today before focus turns to tomorrow’s critical May CPI release.

The trade is based on the idea that

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The trade is based on the idea that: Sevens Report Founder, Tom Essaye Quoted in Forbes

Deutsche Bank Upgrades U.S. Stock Rating On Trump’s Tariff ‘Relents’—As ‘TACO’ Trump Gains Popularity

As Sevens Report founder Tom Essaye explains, the “trade is based on the idea that Trump makes an outlandish and significant tariff proposal on a major U.S. trading partner but within a matter of days, backtracks and either delays the implementation or exempts enough goods that the tariff itself loses much of its bite.” Trump has “always chicken[ed] out so far,” noted Essaye.

Also, click here to view the full Forbes article, published on June 3rd, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Halfway to a Soft Landing?

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What’s in Today’s Report:

  • Halfway to a Soft Landing?
  • Weekly Market Preview:  Does Trade Progress Actually Occur? (Where Are the Trade Deals?)
  • Weekly Economic Cheat Sheet:  Focus on Inflation (The Lower, the Better)

Futures are flat following a mostly quiet weekend as investors await the results of the latest U.S./China trade talks.

A meeting between U.S. and Chinese trade officials in London should end shortly and markets are waiting for the results (the meeting could see more on Chinese efforts to curb fentanyl shipments to the U.S.).

Economically, Chinese exports missed expectations (4.8% y/y vs. (E) 6.0%) underscoring economic headwinds.

Today focus remain on trade and any positive (or negative) headlines from the U.S./China meeting in London will move markets.  Outside of trade, focus will be on the N.Y. Fed 1-Year Consumer Inflation Expectations (E: 3.6%).  These have cooled lately as the trade war has de-escalated and further cooling would be a positive for markets.

Are Markets Giving An “All Clear” Signal?

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What’s in Today’s Report:

  • Are Markets Giving An “All Clear” Signal?
  • Weekly Market Preview:  Can This Rebound Hold?
  • Weekly Economic Cheat Sheet:  The First National Numbers for May (This Thursday)

Futures are lower (down more than 1%) following the Moody’s downgrade of U.S. debt Friday afternoon.

The Moody’s downgrade wasn’t dramatic news (S&P and Fitch downgraded U.S. debt years ago) but it is pushing the 10 year yield higher and that’s weighing on futures.

Economically, Chinese economic data underwhelmed (Retail Sales and Industrial Production missed estimates).

Today focus will be on economic data and Fed speak.  Economically, Leading Indicators (E: -0.7%) is the most notable report while we have several Feds speakers including: Williams & Bostic (8:30 a.m. ET), Jefferson (9:45 a.m. ET) and Logan (1:15 p.m. ET).  If they echo Powell from last week and are somewhat dismissive of near-term rate cuts, that could add to the headwinds on stocks today.