Monthly Archives: December 2014
EUR/USD Shows Sign Of Life Below 1.23
The EUR/USD pair showed signs of life below the 1.23 level during the Monday session as we turn things back around and form a little bit of a hammer. That being the case, it looks as if the market is ready to continue bouncing a little bit in this particular area, but ultimately we feel that it’s…
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The average return of our best scoring ADRs from 1-year ago (12/9/2013) returned % in the past year, with no turnover. That generated 251 bps of excess to the MSCI EAFE index. The best performers from our list last year include SIG up 71%, SHPG up 60%, and IRS up 41%. The average ADR score is 49.16, which is…
Baltic Dry Plunges Back Below $1000 – Lowest December Since
Just a few short months ago, investors were “buy buy buy”-ing the fact that The Baltic Dry Index had resurged off multi-year lows ‘proving’ China’s renaissance and that world economic growth will re-approach Nirvana. Simply put, with collapsing commodity prices (iron ore for instance) and massive fleets of credit-driven mal-investment-based vessels, it should surprise no one that…
Why Wall Street And Governments Hate Gold
Gold is hated more than ever by both governments and the financial services community. This is because it has now become imperative to keep the illusion of confidence in sovereign debt and paper currencies. To that end, a gentleman by the name of Willem Buiter, Citigroup’s chief economist, shot into the media spotlight by writing…
Consolidation Warnings
I posted over the weekend that it was make or break time for the indexes. It appears that it might be break time. All of the indexes with the exception of small caps (RUT or IWM) issued a consolidation warning at the close today. A consolidation warning occurs when Twitter or StockTwits momentum breaks its confirming…
Palladium And Platinum Formula For Profit
Paul Simon says it best when you’re talking about the action in the oil markets lately: Oil just keeps ‘slip slidin’ away. Prices are at levels not seen since 2010. This startling price action is causing fascinating reactions in a broad number of industries and sectors. One particularly interesting reaction is that of the automobile…
Bulls Revel In New Highs And Blue Skies, But Oil Introduces A Dar
As everyone knows, stocks do not go up in a straight line, not even during the holidays. So although the future looks bright for U.S. equities as the major indexes continue to hit or challenge new highs, the market has been gasping for a breather to gather bullish conviction. My fear has been that we…
Extreme Moves In The USD Do Not Hurt Gold
Well for the last decade, anyways! Chart below is a weekly chart of GLD and DXY. As shown below powerful moves in the USD (DXY) do not send gold crashing. The USD looks like it is completing a A-B-C correction. Once the C is done, and the DXY falls, gold will do well. How much…
Little Pressure On Fed To Raise Rates Soon
The Jobs Report scored big Friday, reporting 321,000 new jobs for November and a strong monthly wage increase. Unfortunately, the outlook for GDP growth indicates this robust level of jobs growth is not likely to continue for long. Over the last two quarters, the economy grew at a 4.2 percent clip, about double the pace for…