This week it’s gold and real yields. A really important thing happened with interest rates in November last year which should be front of mind for investors thinking about gold. It is a reasonably well established understanding that gold prices trade inversely to real yields, and I’ll explain why shortly. What happened in November last year…
Stock Market has yet to see anyone even remotely try and buy the dip There isn’t insane volume sweeping the market today, like what we saw back in February, but the extent of this sell-off is quite extreme, especially for one day. There is plenty of news headlines hitting the market hard today, which is…
Written by Steven Hansen The ISM Manufacturing survey insignificantly declined and remained in expansion. The key internals are in expansion. The Markit PMI manufacturing Index is in positive territory and insignificantly improved. Analyst Opinion of the ISM Manufacturing Survey Based on these surveys and the district Federal Reserve Surveys, one would expect the Fed’s Industrial Production…
iStock/Oksana_Bondar Apparently SAT tests, which are like IQ tests in principle, don’t account for excessive risk taking. Where’s the evidence for this? Cryptocurrencies offer a hint. You see, over the past few months, more than one-fifth of American college students have invested their student loans in cryptocurrencies like bitcoin. The bitcoin market is heading for…
Learn the times of the year when the GBPUSD and British Pound FX futures tend to do well and poorly, based on historical tendency. Normally we view charts in chronological order, day after day and year after year. This chart type shows the price path of a currency over time and provide a lot of information…
One of the biggest stories in finance and economics in 2018 is the flattening yield curve. It has been flattening for a few years, but now it is coming close to an inversion as we have detailed previously. The latest difference between the 10-year treasury yield and the 2-year treasury yield is only 47 basis points….
Congratulations are surely in order on Monday. Donald Trump has succeeded in tweeting the market to its worst start to a second quarter since the Great Depression – that’s “Great Depression” with a “D” not “Great Recession” with an “R”: That’s right folks, we’re on pace for the worst Q2 opening day in nearly…
SPX500 WEEKLY PRICE CHART Notes: Simplicity is key- Last month we highlighted key support in the S&P 500 at the, “confluence of the 61.8% extension and the 200-day moving average around 2586/90.” A sliding parallel (red) of the dominant slope (blue) extending off the November 2016 lows also converges on this region and further highlights the technical significance of…
The March US Manufacturing Purchasing Managers’ Index conducted by Markit came in at 55.6, up from the 55.3 final February figure. Today’s headline number was below the Investing.com forecast of 55.7. Markit’s Manufacturing PMI is a diffusion index: A reading above 50 indicates expansion in the sector; below 50 indicates contraction. Here is an excerpt from Chris…
UnitedHealth Group Inc (NYSE: UNH) trades at an EBITDA multiple of 11.5x, which is lower than the Healthcare sector median of 16.1x. While this makes UNH appear like a stock to add to your portfolio, you might change your mind after gaining a better understanding of the assumptions behind the EV/EBITDA ratio. In this article, I…
