The perfect storm is brewing.

A cocktail of disinflation, strong consumer balance sheets and cautious investor positioning will likely cause an explosive move in stock markets.

No overly deep thoughts today, just a few observations to reiterate my current macro point of view. I will likely drop a bigger report on Canadian residential real estate later this week. Stay tuned and recommend me to your friends. :)

Inflation is currently falling like a rock. Combined with strong consumer balance sheets and cautious investor positioning, stocks are in my opinion poised for an explosive move. This is particularly true for anything hated out there, most importantly cyclical stocks like automotive, real estate and financials.