The euphoria needed to cool/Freight rates/De-dollarization?/GIS and KMX comments/Other

Strictly from a sentiment and technical standpoint gravity always exists when it comes to a market that gets way overbought, way over loved and is retesting the previous highs, in the short term. With RSI's at the highest level that I saw since September 2020 and January 2018, the CNN Fear Greed index getting to 80 in the 'Extreme Greed' category, the Daily Sentiment Index for S&P and NASDAQ getting above 80, the latest II read showing almost a 40 pt spread between Bulls and Bears with the former now at 56.9 vs 55.6 and Bears further disappearing at 18.1 from 19.4 and AAII reflecting the highest Bull count at 52.9 since April 2021 and Bears just off the lowest since December 2017, a VIX that saw an 11 handle last week and didn't fall further this week and throw in whatever influence zero day options have had and we were due for a reversal day like yesterday. Further consolidation likely continues from here until we work this euphoria off and then we'll reevaluate. For longer term investors, stick to analyzing the fundamentals. 

So as a shareholder of FedEx and attempting to figure out all the macro too, I was most interested in trying to see whether their earnings news was something company specific (continued margin degradation in Express for example) or just a casualty of the global manufacturing recession we're still in. Craig Fuller, the CEO of FreightWaves was on CNBC yesterday morning and was asked the question by Frank Holland on what's the influence, is it a read on the global economy or a FedEx problem? Craig said, "FedEx is a barometer of global activity particularly when you look at the consumer and e-commerce where FedEx really demonstrates what is happening on a global basis but we're seeing a very challenging freight market overall. FedEx is not exclusive to that. We're in a post Covid cycle, there is too much capacity out there and on a global basis the logistics market in terms of goods consumption and shipping has been challenged." I'll add that there will be more capacity that comes out of the industry, via more bankrupticies of trucking companies, that will eventually benefit the legacy players and will firm up prices at some point. 

The World Container Index updated its pricing stats and reflecting the Red Sea shipping diversions that could add up to 4 weeks to the travel time when going around the Cape of Good Hope. The WCI composite container freight benchmark rate for a 40 foot box jumped 9.2% over the past week which followed a 4% rise in the week before and an almost 6% increase in the week before that. At $1,661, it's the highest since early September but still dramatically off the panic peak levels of 2021 when it exceeded $10,000 per container.