Sizing Up to … Small on Index Shorts
I have moved from very small to small-sized short the indexes:
* SPY ($SPY) $755.12
* QQQ ($QQQ) $723.12
I plan to scale on any more strength.
Positions: Short SPY S QQQ S
Two Charts, Three Buys and a Fourth Attempt
Planet Labs and Evolv both sit at critical technical areas. Here’s my trading plan.
Whither the SEC?
Positions: None.
Cashing in on a Second-Level Short
I just covered this morning’s MS ($MS) short for a quick +$7 gain (at $224.69).
From earlier this morning:
Second-Level Shorting
I have added to my Morgan Stanley (MS) short (at $231.37) after the “better than expected” earnings per share release.
Here is the complete release: 2Q26 MS Earnings Release
I am employing second level thinking. Howard Marks: The Importance of Second-Level Thinking • Novel Investor
Positions: Short MS S
BY Doug Kass · Jul 15, 2026, 8:20 AM EDT
Short MS VS
IMHO: Bonds in ‘Danger Zone’
Bond prices (and yields) are entering the “danger zone.”
TLT ($TLT), another low.
As I noted earlier, the equity risk discount is growing ever wider.
Position: None.
The Price Discovery Mechanism Is Broken
* Beware of more IBMs – individually and in the aggregate…
Today’s market is dominated by passive strategies and products that know little about value and everything about price.
Moreover, the gamification of our capital markets continues unabated – with the proliferation and popularity of zero days to expiration options and leveraged ETFs (sometimes 2x to 5x!).
Here is another market phenomenon that bears repeating:
Positions: None
ASML Plans Capacity Additions: 8 Key Items Shaping the Stock Market Wednesday
U.S.-Iran, Nvidia confirms Vera tracking, Apple Intelligence approved in China, and other headlines that are moving stocks this morning.
Second-Level Shorting
I have added to my Morgan Stanley ($MS) short (at $231.37) after the “better than expected” earnings per share release.
Here is the complete release: 2Q26 MS Earnings Release
I am employing second level thinking. Howard Marks: The Importance of Second-Level Thinking • Novel Investor
Positions: Short MS S
Subscriber Comment of the Day (And My Response … and More Responses)
billmc
37m ago
Cramer advised not bring overly concerned regarding current forward market PE vs in 1999 on his intro last night. My thought was that market concentration risk is the issue, not relative PEs.
1ReplyShare
Dougie Kass
35m ago
market structure (disproportionate role of passive strategies and products) when combined with the gamification of the markets (ODTE, levered ETFs etc) are the risks I see.
ReplyShare
Asaxelrod
2m ago
Cramer also berated the ETFs yesterday morning for causing dislocation across some tech based on IBM’s pre-announcement, the guy only pumps momentum and likes the ETFs when they are simply reinforcing that momentumReplyShare
Dougie Kass
just now
axe as i have commented he doesnt complain when momentum based investors (ETFs and others) bid up stock prices…
Positions: None.
Cool CPI, Sharp Warsh, Booming Banks
Let’s check on inflation, what Fed Chief Warsh told lawmakers, the banks and my latest take on the chart.