macro.

Macro Econ 2026-02-15

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Economics Report

FED Data for Unemployment Rate:

The percentage of people in the labor force who are jobless and actively seeking work.

Latest Value: 4.3% on 2026-01-01

1 year data range: 4.1% to 4.5%

2 year data range: 3.9% to 4.5%

3 year data range: 3.4% to 4.5%

FED Data for All Employees, Total Nonfarm Payrolls:

The total number of paid workers in the U.S., excluding farm employees, government, and non-profits. A key measure of job growth.

Latest Value: 158.6M on 2026-01-01

1 year data range: 158.4M to 158.6M

2 year data range: 157.5M to 158.6M

3 year data range: 155.1M to 158.6M

FED Data for Advance Retail Sales:

A measure of the total sales at retail stores and food service establishments. A key indicator of consumer spending strength.

Latest Value: 735B on 2025-12-01

1 year data range: 716.1B to 735.1B

2 year data range: 687.6B to 735.1B

3 year data range: 665.1B to 735.1B

FED Data for Labor Force Participation Rate:

The percentage of the working-age population that is either employed or actively looking for work. It shows how many people are engaged in the labor market.

Latest Value: 62.5% on 2026-01-01

1 year data range: 62.2% to 62.6%

2 year data range: 62.2% to 62.7%

3 year data range: 62.2% to 62.8%

FED Data for Personal Savings Rate:

The percentage of disposable personal income that people save (i.e., don't spend).

Latest Value: 3.5% on 2025-11-01

1 year data range: 3.5% to 5.5%

2 year data range: 3.5% to 5.9%

3 year data range: 3.5% to 6.4%

FED Data for Consumer Price Index:

Measures the average change over time in the prices paid by urban consumers for a basket of goods and services. A primary gauge of inflation.

Latest Value: 326.6 on 2026-01-01

1 year data range: 319.8 to 326.6

2 year data range: 312.3 to 326.6

3 year data range: 301.8 to 326.6

FED Data for Core PCE Price Index:

The Federal Reserve's preferred inflation measure. It tracks price changes for consumer goods and services excluding the volatile food and energy categories.

Latest Value: 127.4 on 2025-11-01

1 year data range: 125.3 to 127.4

2 year data range: 122 to 127.4

3 year data range: 118.3 to 127.4

FED Data for Producer Price Index:

Measures the average change in selling prices received by domestic producers for their output. An indicator of inflation at the wholesale level.

Latest Value: 260.7 on 2025-12-01

1 year data range: 258.4 to 262.4

2 year data range: 252.7 to 262.4

3 year data range: 249.9 to 262.4

FED Data for Federal Funds Effective Rate:

The interest rate at which banks lend to each other overnight. It is the primary tool the Federal Reserve uses to conduct monetary policy.

Latest Value: 3.6% on 2026-01-01

1 year data range: 3.6% to 4.3%

2 year data range: 3.6% to 5.3%

3 year data range: 3.6% to 5.3%

FED Data for Fed's Assets:

The total size of the Federal Reserve's balance sheet. An increase indicates the Fed is adding liquidity to the financial system (e.g., via asset purchases/QE).

Latest Value: 6.6T on 2026-02-11

1 year data range: 6.5T to 6.8T

2 year data range: 6.5T to 7.6T

3 year data range: 6.5T to 8.7T

FED Data for 10-Year minus 2-Year Yield Spread:

The difference between 10-year and 2-year Treasury note yields. When it turns negative (inverts), it is a closely watched signal of a potential recession.

Latest Value: 0.6% on 2026-02-13

1 year data range: 0.2% to 0.7%

2 year data range: -0.5% to 0.7%

3 year data range: -1.1% to 0.7%

FED Data for 10-Year minus 3-Month Yield Spread:

The difference between 10-year and 3-month Treasury yields. Also a powerful recession indicator when it inverts.

Latest Value: 0.4% on 2026-02-13

1 year data range: -0.3% to 0.6%

2 year data range: -1.6% to 0.6%

3 year data range: -1.9% to 0.6%

US Dollar Index: 96.88, a 0.76% drop from a week ago.

Current VIX: 20.6, up 10.52% from a week ago.

Buffet Indicator as of 2025-07-01: 220.12%

SOFR minus IORB in the past 14 days (unit: basis points):

A positive spread (SOFR > IORB) indicates stress or scarcity of cash in the overnight lending market. A near-zero or negative spread (SOFR ≤ IORB) indicates ample liquidity.

DateValue
2026-02-120
2026-02-110
2026-02-100
2026-02-09-2
2026-02-06-1
2026-02-050
2026-02-040
2026-02-034
2026-02-024
2026-01-303
2026-01-290
2026-01-28-1
2026-01-271
2026-01-261

SPY Technical Report

Price Range for SPY

SPY current price: $681.75

5-Day Range: $677.52 - $697.14

50-Day Range: $669.22 - $697.84

200-Day Range: $536.84 - $697.84

Price Distribution for SPY in the past 30 days

25th percentile: 688.03

Lowest price: 675.79

Price with moderate low (closest to -0.5) z-score: 684.03

Price with low (closest to -1.0) z-score: 680.85

Price below mean by one standard deviation: 681.07

Price below mean by two standard deviations: 675.93

Technical Indicators Summary for SPY as of 2026-02-15

MACD values for SPY in the past 14 days:

Datemacdsignalhistogram
2026-02-13-0.380.76-1.14
2026-02-120.221.04-0.82
2026-02-111.031.25-0.22
2026-02-100.961.30-0.35
2026-02-090.831.39-0.55
2026-02-060.481.53-1.05
2026-02-050.361.79-1.43
2026-02-041.532.14-0.62
2026-02-032.122.30-0.18
2026-02-022.512.340.16

EMA values for SPY with a window of 50 days:

DateValue
2026-02-13685.64
2026-02-12685.80
2026-02-11685.99
2026-02-10685.75
2026-02-09685.48
2026-02-06685.14
2026-02-05684.92
2026-02-04685.21
2026-02-03685.17
2026-02-02685.00

EMA values for SPY with a window of 200 days:

DateValue
2026-02-13652.80
2026-02-12652.51
2026-02-11652.22
2026-02-10651.82
2026-02-09651.42
2026-02-06650.99
2026-02-05650.59
2026-02-04650.32
2026-02-03649.96
2026-02-02649.56

RSI values for SPY in the past 14 days:

DateValue
2026-02-1343.68
2026-02-1243.19
2026-02-1152.57
2026-02-1052.73
2026-02-0954.48
2026-02-0651.77
2026-02-0538.53
2026-02-0446.31
2026-02-0349.97
2026-02-0257.36

Money Flow Index (MFI) for SPY over the last 10 trading days:

Latest MFI: 37.44

DateTypical PriceMoney Flow RatioMFI
2026-02-13681.850.6037.44
2026-02-12685.660.5937.15
2026-02-11692.760.6138.01
2026-02-10693.440.8445.75
2026-02-09692.720.8245.14
2026-02-06687.930.7944.27
2026-02-05679.030.7442.51
2026-02-04686.471.1854.18
2026-02-03690.172.1668.38
2026-02-02487.111.2254.89

Bollinger lower and higher band for SPY, calculated for the past 20 days

Number of Standard Deviations: 2

Latest Close: 681.75

Latest SMA: 689.15

Latest Bollinger Lower Band: 677.74

Latest Bollinger Higher Band: 700.55

ADX for SPY, calculated for the past 14 days

ADX: 95.72

Volume and volume ratio for SPY:

Last 30 days average volume: 84.2M

Volume ratio and Price spread in the past 14 days:

DateVolumeVolume RatioPrice Spread (High - Low)
2026-02-1596.3M1.148.76
2026-02-14118.8M1.4114.98
2026-02-1376.4M0.917.96
2026-02-1265.2M0.774.88
2026-02-1173.9M0.887.53
2026-02-1089.1M1.0611.46
2026-02-09113.6M1.357.90
2026-02-08105.2M1.259.69
2026-02-07107.9M1.2812.93
2026-02-0679.3M0.94627.92
2026-02-05101.8M1.217.09
2026-02-0497.5M1.1612.23
2026-02-0361.2M0.733.90
2026-02-0255.5M0.662.96

Average VWAP in the past 30 days: 689.38

Support levels for SPY (last 200 trading days):

Last Low: 69.0 on 2026-02-02 (UTC)

Last High: 697.14 on 2026-02-11 (UTC)

Fibonacci Levels: 23.6%: 548.9, 38.2%: 457.19, 50.0%: 383.07, 61.8%: 308.95, 78.6%: 203.43

Resonance Supports: No resonance supports (Fibonacci levels not within ±3% of last low).

Short interest data for SPY in the past 5 months:

Report DateShort InterestAvg Daily VolumeDays to Cover
2026-01-30109.5M83.5M1.31
2026-01-15107.4M76.5M1.40
2025-12-31100.8M76.7M1.31
2025-12-15113.5M73.8M1.54
2025-11-28111.6M96.8M1.15
2025-11-14118.2M79.3M1.49
2025-10-31108.8M76.5M1.42
2025-10-1597.9M78.5M1.25
2025-09-30114.2M80.9M1.41
2025-09-15111.6M71.7M1.56

Final Report

1. Holistic Macroeconomic Summary

The U.S. economy exhibits characteristics of a late-cycle expansion transitioning towards potential softening. The growth pulse is moderating: while total payrolls remain at a cycle high, year-over-year job growth has stalled, and the unemployment rate has risen 90 basis points from its 3-year low. Consumers, the engine of the economy, are showing strain; retail sales continue to climb but the personal savings rate has collapsed to a multi-year low of 3.5%, indicating spending is being sustained by drawing down buffers rather than income growth. On inflation, the disinflationary trend appears entrenched, with CPI and Core PCE indices rising but at a decelerating pace. This has allowed the Federal Reserve to shift to an accommodative stance, cutting the Fed Funds Rate by 70 basis points over the past year and holding a stable balance sheet. The market context is fraught with contradictions: recession signals have receded with a positively sloped yield curve (10yr-2yr at +0.6%), but extreme overvaluation persists (Buffett Indicator 220%). Meanwhile, a rising VIX and stable, near-zero SOFR-IORB spreads point to elevated investor anxiety alongside ample systemic liquidity.

2. Risk Assessment with Severity Ratings

  • Risk: Extreme Equity Market Valuation

    • Severity: High
    • Rationale: The Buffett Indicator at 220.12% signals the market is severely overvalued relative to the size of the economy, limiting long-term return potential and increasing vulnerability to shocks.
  • Risk: Deteriorating Consumer Resilience

    • Severity: Medium
    • Rationale: The personal savings rate at a 3-year low (3.5%) combined with plateauing payroll growth suggests consumer spending, a key growth driver, is becoming increasingly fragile.
  • Risk: Lagged Impact of Prior Monetary Tightening

    • Severity: Medium
    • Rationale: Despite recent rate cuts, the cumulative effect of the prior hiking cycle may still be working through the economy, risking a more pronounced slowdown in growth and corporate earnings.

3. SPY Recommendation & Trade Setup

  • Recommendation: Hold (with a bias to accumulate on weakness for medium-term investors)
  • Time Horizon: Medium-Term (3-12 months)
  • Key Technical Levels:
    • Critical Support: The confluence of the Bollinger Lower Band (~$677.74) and the 200-day EMA (~$652.80). A breach of the 200-day EMA would signal a more significant trend change.
    • Next Resistance: The 50-day EMA (~$685.64) and the recent high at $697.14.
  • Brief Rationale: The macro backdrop suggests a slowing but not collapsing economy, with the Fed in a supportive posture, which argues against a deep bear market. Technically, SPY is testing key support (Bollinger Lower Band) while momentum indicators (RSI at 43.68, MFI at 37.44) are approaching oversold territory within a still-intact long-term uptrend (ADX very strong, price above 200-day EMA). The risk/reward for new purchases improves near current support levels, but confirmation of a bounce is needed.

4. Investor Implications

  • For Tactical Traders: The environment favors a range-bound, mean-reversion strategy. Use the defined support (~$678) and resistance (~$697) levels for trade entries and exits, given the high ADX confirms a strong trend but current prices are at the lower boundary. Be alert for a breakdown below support, which would shift the strategy to trend-following short.
  • For Long-Term Investors: Maintain discipline through dollar-cost averaging and strategic rebalancing. Avoid market-timing based on elevated valuations alone, but use periods of technical weakness (like the current test of support) to methodically build positions. Given the late-cycle signals, ensure portfolio allocations are aligned with risk tolerance.