DC Lite #130

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1. Air travel. "All-time high number of passengers passed through TSA checkpoints at US airports last weekend."

2. Fed vs. financial conditions. "Financial conditions are significantly easier than when the Fed started raising interest rates in March 2022 ... The more the Fed insists that the next move in interest rates is a cut, the more financial conditions will ease, making it more difficult for the Fed to cut."

3. Weekly ETF flows. "Massive inflows into U.S. large-cap equity ETFs over past week; global equities had strong interest as well, followed by agg bond funds ... on other end, government bond funds had most outflows, followed by investment grade."

4. SPX breadth. "As the S&P 500 has trekked higher this year (top panel), there has been a deterioration in the % of members trading above their 50-day moving average (bottom panel) ... series of lower lows and lower highs so far in 2024."

5. Narrow leadership. "For only the 9th time since 1966, the percentage of S&P 500 equal-weighted sectors with a positive relative trend score versus the S&P 500 declined to 0%.  Many believe that narrow leadership signals bearish outcomes, yet history contradicts this view."