Stock market legend issues ‘vicious and ferocious growling bear’ warning over US labor force – Yahoo Finance

The last time stock market legend Peter Eliades spoke to FOX Business host Neil Cavuto, it was during the 2022 market’s “exact bottom,” just before a two-month rally.
While the Stockmarket Cycles publisher and editor was bullish then, he said on “Cavuto: Coast to Coast” Monday that he’s returning to his cage.
“I’m returning to my cage again,” Eliades told Cavuto. “I’m going to be called a vicious and ferocious growling bear.”
While the market expert claimed he’s “100% a cycle technician” when it comes to the market, there’s one fundamental number right now that’s “really” standing out: unemployment.
DECEMBER JOBS REPORT’S REAL NUMBERS ARE ANEMIC NOT ROBUST. HERE’S WHY AMERICANS SHOULD BE WARY
U.S. hiring cooled in December to the lowest pace in two years, but the labor market remained resilient in the face of higher interest rates, scorching-hot inflation and mounting recession fears.
READ ON THE FOX BUSINESS APP
Employers added 223,000 jobs in December, the Labor Department said in its monthly payroll report released Friday, topping the 200,000 jobs forecast by Refinitiv economists. Still, it marks a slight deceleration from the downwardly revised gain of 256,000 in November and marks the worst month for job creation since December 2020. The unemployment rate unexpectedly fell to 3.5%, a five-decade low.
“That’s one of the lowest readings in the last oh, gosh, 60 years. You just don’t get down to 3.5% that often,” Eliades said. “Except the problem is, it works exactly the way your instinct might tell you it would work: very low unemployment numbers are usually very bearish for the market.”
From the 1970s to 1990s, Eliades noted there was never an unemployment reading like December’s recent low. But when unemployment hit just below 4% in April 2000, “that was one of the great tops in market history. The NASDAQ went down 80, 90% from there, so this a huge bear market,” he said.
A similar reading around 4% in February 1966 until 1982, Eliades pointed out, “the Dow Jones Industrial Average was on a road to nowhere. It had hit a thousand in February of ’66, and it never significantly broke that thousand until 16 years later.”
Going into 2023, Eliades predicted “another down year” for the U.S. economy, and the tipping point will be the volatility index.
“On Friday of last week, we closed at the lowest level for the VIX index all year long through 2022. And what does that indicate? Complete complacency,” the market expert said. “The market had a bad year, but we’re not going to have two bad years in a row, are we? We can’t have two down years in a row, can we?”
Eliades further advised that any time the VIX index sees this low level, “then you have invariably been at a market top in a bear market.”
GET FOX BUSINESS ON THE GO BY CLICKING HERE
“If this is still a bear market, and I’m very much a proponent of that theory,” the stock market legend said, “then we’re in trouble now with this low, very low VIX reading.”
READ MORE FROM FOX BUSINESS
FOX Business’ Megan Henney contributed to this report.
Related Quotes
In December, the rate of inflation fell to an annualized 6.5% from the 7.1% rate recorded in November, according to government data. Through a series of jumbo rate hikes, the Federal Reserve has sought to tamp down inflation. The war in Ukraine is affecting the prices of fertilizers and animal feeds; the avian flu continues to have an impact on the supply of eggs; and extreme weather conditions are complicating food production.
How the economy fares as the Fed sticks with its inflation fight is a hot topic. The big banks are prepping for a downturn.
Some job postings that have surfaced amid California’s push for pay transparency feature broad compensation ranges. Its transparency law went into effect this month.
Georgia Bulldogs tight end Brett Seither was one of three UGA tight ends in the transfer portal
Size, profits, and smart management make this name one of the very best — if not the best — in the business.
The White House said Saturday more documents marked classified were found at President Biden's private residence in Wilmington, Delaware. A White House attorney said he found five additional pages during a search of the president's library. CBS News political director Fin Gomez joined Tony Dokoupil and Lana Zak to discuss the potential effects of last week's revelations.
MLB's most powerful agent had a winter to remember, negotiating more than $1 billion of deals with the Carlos Correa saga drawing out into January.
There is sweeping optimism that Beijing's crackdown on the technology sector that has also hit Tencent and JD.com, is thawing as companies address issues such as market dominance and data sharing.
Save 45% on Amazon’s light-as-a-feather packable jacket.
The SPY-6 radar performed well in its first-ever at-sea trials last month. More tests are coming this year, as the company looks to build on its successes.
Mickie James would love to wrestle for WWE and AEW, […]
The list has profitable Russell 3000 companies in a cyclical industry group, with market capitalizations greater than $5 billion.
The mean of analysts' price targets for Tenaris S.A. (TS) points to a 28.5% upside in the stock. While this highly sought-after metric has not proven reasonably effective, strong agreement among analysts in raising earnings estimates does indicate an upside in the stock.
Even though the Panthers aren't sitting in prime draft position to land a franchise QB, a window has been opened thanks to the Texans and Bears.
The long-term sentiment has turned bullish for the first time in 12 months.
The Biden Administration’s Inflation Reduction Act will provide a major boost to the clean energy industry, but solar, wind, and EV companies are struggling to find sufficient labor
China’s economy, the world’s second biggest, had one of its weakest years in decades in 2022 as the country coped with repeated lockdowns to contain the spread of Covid-19. Growth slowed to 3% in 2022 from 8.1% in 2021, official statistics showed Tuesday. China is critical for the global economy, not only because of its size, but because it also grows much faster than developed nations as it catches up with them in productivity and output per person.
NHS patients risk missing out on breakthrough drug treatments after two leading pharmaceutical companies pulled out of the UK’s official pricing scheme.
On Sunday, showers continued at a rate of half-an-inch per hour
As any biotech investor will tell you freely, investing in biopharma is rife with risks. Clinical trials can miss the mark, and successful medicines on the market can get outcompeted by newer entrants. To do that, they tend to have a mix of reliable sales alongside a bunch of ambitious projects to provide upside.

source