42 min

Oil, inflation, and bad government policy - Jim Iurio joins Alpha Trader Alpha Trader

    • Investing

This week’s Alpha Trader podcast features hosts Aaron Task and Stephen Alpher talking with Jim Iurio, managing director at TJM Institutional Securities.

Among the topics discussed:

Speaking as crude oil prices (CL1:COM) were jumping despite a coordinated governmental effort to boost supplies, Iurio reminds that it’s another entry in the “buy the rumor, sell the fact” mantra. Oil, he notes, was down about $10 per barrel in the weeks leading up to Tuesday morning’s announcement of the SPR release.

Iurio is short the S&P 500 (SP500) for a trade, noting a recent rise in interest rates and significant deterioration in the average stock even as the market gauge remains close to or at an all-time high. This isn’t the “big one,” though, cautions Iurio. A continuation of easy monetary policy should assure that any correction will be a modest one.

The question going forward is whether the current fast inflation numbers have put us at an inflection point, i.e. is nearly 40 years of progressively easier monetary policy coming to an end? Iurio isn’t so sure we’re there yet, but he’s keeping a close eye on developments.

Iurio remains bullish on not just the price, but the disruptive nature of cryptocurrencies like Bitcoin (BTC-USD) and Ethereum (ETH-USD). Of news that some high-profile professional athletes are taking their salaries in bitcoin, he does get a bit worried, saying it reminds him of a supermodel who in 2007 demanded to be paid in euros shortly before that currency’s long, steep decline.

Learn more about your ad choices. Visit megaphone.fm/adchoices

This week’s Alpha Trader podcast features hosts Aaron Task and Stephen Alpher talking with Jim Iurio, managing director at TJM Institutional Securities.

Among the topics discussed:

Speaking as crude oil prices (CL1:COM) were jumping despite a coordinated governmental effort to boost supplies, Iurio reminds that it’s another entry in the “buy the rumor, sell the fact” mantra. Oil, he notes, was down about $10 per barrel in the weeks leading up to Tuesday morning’s announcement of the SPR release.

Iurio is short the S&P 500 (SP500) for a trade, noting a recent rise in interest rates and significant deterioration in the average stock even as the market gauge remains close to or at an all-time high. This isn’t the “big one,” though, cautions Iurio. A continuation of easy monetary policy should assure that any correction will be a modest one.

The question going forward is whether the current fast inflation numbers have put us at an inflection point, i.e. is nearly 40 years of progressively easier monetary policy coming to an end? Iurio isn’t so sure we’re there yet, but he’s keeping a close eye on developments.

Iurio remains bullish on not just the price, but the disruptive nature of cryptocurrencies like Bitcoin (BTC-USD) and Ethereum (ETH-USD). Of news that some high-profile professional athletes are taking their salaries in bitcoin, he does get a bit worried, saying it reminds him of a supermodel who in 2007 demanded to be paid in euros shortly before that currency’s long, steep decline.

Learn more about your ad choices. Visit megaphone.fm/adchoices

42 min

More by Seeking Alpha

Seeking Alpha
Seeking Alpha
Seeking Alpha
Seeking Alpha
Seeking Alpha
Seeking Alpha