Buying At All-time Highs Better? | S&P 500 Returns After Last Hike | Developed International Beats the S&P | How To Tell Whether Options Are Expensive

Derek Moore and Jay Pestrichelli, CEO of ZEGA Financial, are back to explore surprising data about buying the market at all-time highs vs any other day. Plus, how do markets and bonds perform post the last fed hike? Later, while you were sleeping developed international markets outperform U.S. markets. And listener question “who do I know what a good price for an option is?”

What is a high or low price for an option?

Components that make up and drive option prices

Market performance post last fed rate hike

Bond market performance after last fed rate hike

MSCI EAFE developed markets international outperforms U.S. large cap

Why people aren’t buying the inflation is lower narrative

S&P 500 earnings estimates continue to rise

Forward PE multiple on the S&P 500 dynamic

Unemployment drops as more people are working and in the labor force

How does immigration if at all impact employment data?

How far $100 gets you at the grocery store today vs 2019

Understanding the cumulative effects of inflation vs the year over year percent change

Why high prices aren’t going back down as only the rate of future change adjusts

Mentioned in this Episode

How far does $100 get you at the grocery store post inflation? https://www.wsj.com/business/retail/inflation-food-price-of-groceries-2024-5010700b?mod=hp_lead_pos7

Previous Week’s Podcast:

Most Record Highs Since 2013 | The Fed No Rush to Cut? | VVIX and VIX Super Quiet | Value vs Growth | Cocoa More Valuable than Gold? https://podcasts.apple.com/us/podcast/most-record-highs-since-2013-the-fed-no-rush-to-cut/id1432836154?i=1000651003743

Jay Pestrichelli’s book Buy and Hedge https://amzn.to/3jQYgMt

Derek’s new book on public speaking Effortless Public Speaking https://amzn.to/3hL1Mag

Derek Moore’s book Broken Pie Chart https://amzn.to/3S8ADNT

Contact Derek derek.moore@zegafinancial.com 

www.zegafinancial.com