And the Drama Continues....OPEC to Meet In Kuwait

The mkt stood in place yesterday....no reaction really all day - until they announced the delay of any vote on Healthcare reform...then the mkt wobbled a bit  - the WSJ makes it sound like it was a disaster...I mean what are these editors really thinking...look at this headline:

"US Stocks Fall as House Postpones Health Care Vote"

FALL?  Really?  The Dow fell 4 pts, the S&P lost 2.79 pts, Nasdaq gave up 4 pts and the RTY surged by 7.8 pts..... Those are hardly numbers to get all worked up about - I mean it's almost FAKE news......stocks did not FALL at all....they churned, they treaded water, they simmered...... the S&P had a 16 pt range between hi/lo (2358/2342) - opened at 2345.97 and closed at 2345.96.....and WHERE is the FALL????  No wonder investors get frustrated.....there is NO news here....Stocks had no reaction yesterday....NONE, ZERO.....Period.

So now - Let me get this straight.....these bozo's in Congress - led by Paul Ryan et al....cancelled the vote yesterday because they did not have enough support and did not want to be embarrassed...and last night Trump - who is about to demonstrate  "The Art of the Deal" sends Stevey (Bannon), Reincy (Priebus) and KellyAnne (Conway) up to Capitol Hill to say that "Trump has run out of patience...."
 
"The President is done negotiating - Bring an up and down (Yes/No) vote to the floor - and let's see where the bodies lie - Let's see who is standing where...We are done negotiating...."
 
Now it's about the drama of it all......as Trump tries to force those elected officials to take a stand... It is a high stakes gamble - many now see this as a referendum on the Trump Presidency.........if it passes it is an important win for the administration but if it fails then it subjects the administration to ridicule and will cast a huge shadow of doubt on their ability to govern.....If it wins then it moves onto the Senate where it is sure to get eviscerated and tossed aside... and they know that - but then the GOP can blame the Democrats for its failure......(politics is such a dirty game...)
 
Now to be clear - Donny (Trump) and Pauly (Ryan) want to pass (force) HR Bill 1628 (American healthcare Act) that - as its HEADLINE feature -  eliminates ESSSENTIAL BENEFITS?  I mean the far right wing within the GOP, known as 'The Freedom Caucus' is demanding that this bill  ELIMINATE:
 
1. Hospitalization, 2. Ambulance Services, 3. Maternity Care, 4. Pediatric Services, 5. Mental Health & Substance Abuse Treatment, 6. Prescription Drugs, 7. Rehabilitative Care AND 8. Laboratory Services?   What the   .......K????   Is it me?
 
And Paul Ryan had this say:
 
"For 7 1/2 yrs we have been promising the American people that we will repeal and replace this broken law because it is collapsing and hurting families...Tomorrow we will see to that."
 
And he thinks that by eliminating essential services that he is HELPING AMERICAN FAMILIES?  Dude?  What are you thinking.....
 
Is this what the people in the heartland of America really want? The GOP is making themselves look like a bunch of bumbling, out of touch, incompetent, middle aged white guys that have no clue...... - sounds to me like we are eliminating health insurance all together..... and this is exactly why people are disgusted....
 
(Insurance is defined as:  a practice or arrangement by which a company or government agency provides a guarantee of compensation for specified loss, damage, illness, or death in return for payment of a premium.)
 
Why would anyone NEED insurance if the policy DOESN'T cover any of the services that you are trying to insure against?  I mean what will it cover?  -Podiatry?  (Watch those biotech stocks that specialize in foot care - they are sure to go gangbusters as the rest of the industry - insurers, healthcare, hospitals, pharmaceuticals  etc...get crushed..).  In the end - Obamacare ain't going anywhere anytime soon so maybe it's time to move onto something else..........Just sayin.....
 
Risks are high now for the mkt.....investors/traders were pricing in perfection since the election....and that is now under siege.....the mkt has gotten well ahead of itself and as noted - I would not be surprised to see a pullback.....but that pullback is on hold until after April 15th...(- US futures are up 2 pts in early trade).They won't let it happen before Tax day.....and for however long we get nothing on healthcare reform then don't expect a whole lot on Tax Reform, Fiscal Reform or Regulatory Reform.....and now with the FED making it clear that rates are on the rise - investors have to re-price what the mkt is worth.....and that re-pricing is most likely at lower levels..... 
 
Yesterday - San Fran Fed President John Williams was the latest FED member to join the chorus of rising rates.....as he expects the FED to raise rates 3 or 4 times this year.....see - that number 4 is beginning to gain momentum in the conversations.....and that is concerning....because with lack of promised reforms and a tightening monetary policy stance the mkt is surely going to be tested in the weeks ahead.....being defensive would not be an inappropriate strategy now.....
 
European mkts are all lower this morning.....as investors there are showing concern over the direction of American politics and policy.....Economically - European flash PMIs were very strong - manufacturing PMI rose to 56.7 vs. the est of  55.8 and the continued improving trend in global macro data is the more important story for the markets this morning - yet investors are not embracing the positives just yet.  FTSE -0.12%,   CAC 40 -0.51%, DAX -0.19%, EUROSTOXX -0.46%, SPAIN -0.39% and ITALY -0.30%.
 
Oil - OPEC is meeting in Kuwait on Sunday.....and the expectation is that they will tell the world that it's all good....production cuts are working and that the price of oil will surge in the coming months.....and that they may extend their current levels of production.....If there is any sense that the deal is in jeopardy - then watch for oil to fall even further....something that they do not want - so I expect them to beat the drums of lower production.....currently Oil is up 0.25 cts at $47.95/barrel.....
 
US futures are Up 2 pts as we are all held hostage to the drama in DC..... - eco data today includes Durable Goods - exp of +1.3%, Ex transports of +0.6%, Cap Goods Orders Non Defense EX air of +0.5%, and Cap Good SHIPPED Non Defense EX air of +0.2%.  Markit US Services PMI of 54.8  - If PMI and Durable Goods both beat the estimates then long term investors will feel better about the state of the economy and that may mute the negative chatter over healthcare.  
 
We have 3 FED speakers today....NY's Dudley at 10, St Louis's Bullard at 8 am. and San Fran's Williams at 8:30 am.  These 3 tend to be more hawkish...just sayin....so the mkts will be listening....if we start hearing 4 then don't be surprised to see the pressure build....
 

Grilled Swordfish w/Spinach & Feta

Friday in Lent - so it's fish.....This is a simple dish and should be a staple for the grill. And since it is going to be a nice weekend. ....let's go!

For this you need: Swordfish, Spinach,  Crumbled Feta cheese, butter, s&p, olive oil and fresh lemon juice.    

Start with fresh swordfish steaks.  Marinate in:  Olive oil, S&P, fresh lemon juice - cover with saran wrap and let sit at least 1 hour on the counter. You want it to be room temp when you put it on the grill.

In a separate pan - sauté a bag of fresh spinach in a bit of butter and Olive Oil.  Season with s&p.  After it wilts down then turn off heat and set aside.

Preheat the grill on high for 10 mins....when ready - place the swordfish steaks on the grill and sear.  Leave for 4 mins or so (depending on thickness) then flip.  At this point - cover each  swordfish steak with the sautéed spinach.  Add crumbled Feta cheese and close cover.  Turn heat to med and leave for an additional 4 / 5 mins until done.  The feta will be soft but not melted.   

Arrange the swordfish steaks on a warmed serving platter and complement with a mixed green salad.  Your favorite chilled white wine is the perfect complement -    

 
Buon Appetito.