Last month I tested random rebalancing strategies based on dates and found that searching for optimal points through time to reset asset allocation may not be terribly productive after all. Let’s continue to probe this line of analysis by reviewing the results of randomly changing asset weights for testing rebalancing strategies. I’ll use the same 11-fund portfolio…
The stock whisper of the day is: (SPY), (USO), (GDX), (FCX). Video Length: 00:03:29
The stock whisper of the day is: (SPY), (USO), (GDX), (FCX). Video Length: 00:03:29
In the last trading session, the U.S. stocks were in green, receiving a boost from the sub-par U.S. job data as it signaled a delayed Fed lift-off. Hopes for a few more days of cheap money inflows perked up U.S. stocks in recent sessions. Previous speculations of the Fed enacting a lift-off in the December…
EURUSD: With EUR taking back all of its intra day gains to close lower on Monday, further weakness is now envisaged. Despite its current price hesitation, its broader outlook remains lower as long as it holds below the 1.1288/1.1318 zone. On the downside, support lies at the 1.1100 level where a violation will aim at…
Precious metals prices are soaring in the wake of last week’s disastrous payroll number. The latest nonfarm payroll print at 142,000 with the prior revision from 173,000 to 136,000 underlining the softness in job creation metrics. While most market analysts are looking for numbers in the 200,000 range to signal sustainable job creation and potential…
China’s ruling State Council last month released a much-anticipated plan meant to kick the country’s huge state-owned enterprise (SOE) sector into shape. No small amount of kicking is required. Not all but many of China’s 155,000 SOEs are inefficient and often loss-making. Where SOEs do make money, it’s usually because of markets and lending rules rigged by…
The best headline to summarize what happened in the early part of the overnight session was the following from Bloomberg: “Asian stocks extend global rally on stimulus bets.” And following the abysmal data releases from the past three days confirming that the latest centrally-planned attempt to kickstart the global economy has failed, overnight we got…
Note: This commentary has been updated with the latest numbers from last week’s Employment Report. The Labor Force Participation Rate (LFPR) is a simple computation: You take the Civilian Labor Force (people age 16 and over employed or seeking employment) and divide it by the Civilian Noninstitutional Population (those 16 and over not in the military…
For good or ill, the level of unemployment in just about any economy is no longer the simple proportion of those looking for a job as a percentage of the total workforce. In many countries, you need to be “actively seeking” work to be considered as unemployed or even to be claiming unemployment benefits. People…
