The Economic Elite, aka the Davos attendees, are issuing warnings of a considerable economic slowdown, the result of a changing monetary policy and rising economic nationalism that has gripped the global economies. These warnings coupled with the government shutdown, trade tensions and
...As widely noted many hedge funds and quantitative investors are on the sidelines because of market volatility. This pessimism has also spread to ETF investors for they have yanked about $4 billion from funds thus far this year. Bloomberg writes that this is unusual given...
According to FISUM, Vanguard, Blackrock and State Street are the largest holders of 88% of S & P 500 companies. Wow! The potential influence that these companies can exert upon markets and corporations is incredible. Several times I have opined the next financial crisis could...
Equities rose as signs the US and China are closing in on a trade truce and stronger factory number boosted confidence in the global economy. Commenting about factory orders, factory output expanded by the greatest amount in...
Fourth quarter earnings season is accelerating. A quick and obvious observation is that if the company exceeds expectations, shares rise and vice versa. Leuthold Group writes earnings day turbulence in individual companies late last year reached the highest since...
Yesterday I referenced Stanford Bernstein research about momentum investing, as the index is at its priciest levels versus the benchmark on record, a decidedly bearish factor. Some of the favored momentum issues are the FAANGs. Since bottoming on December 24, the members are up approximately...
Tech stocks rallied after China ratcheted up stimulus to combat slowing growth. The pound erased a decline against the dollar after British lawmakers overwhelmingly voted down a Brexit deal and planned a confidence vote on May’s government.
...When I came into the industry about 30 years ago I was schooled value was supposed to beat growth stocks over the long run. That was the case from 1976-1994 and from 2000-2006. It certainly has not been the case for the past ten years...
Fourth quarter earnings season commences today with the release of Citicorp’s earnings. At time of this writing, 4Q profits are expected to increase around 9%. For the year, earnings are forecasted to rise around 20%. All will pay considerable attention to forward looking statements which...
Many times I have opined about the complete breakdown of risk parity and cross correlated models, a strategy that has surged in popularity over the last 10 years, a strategy that many including the regulatory entities believed limited risks. Yesterday Stanford Bernstein stated this breakdown...