Wherever you are in the world, the strength of your country’s local currency can be adversely affected by many different factors. Uncertainty encourages many investors to look outside of their local savings and investment markets, in a bid to access products that provide the opportunity to invest in ‘hard currencies’, specifically USD, GBP and EUR. Certain products enable investors to secure their savings in a long term financial secure manner.
Portfolio managers returning to work after Labor Day tend to clean house. Since 1950, September is the worst performing month of the year. A bullish election-year does little to improve on September’s poor overall performance.
S&P 500 has declined 9 of the last twelve years on the first trading day. Options Expiration week (Triple Witching for September) is usually bullish, but beware after that!
Reviewing this week’s sell off in gold and US government bonds, we notice new investor attention on small cap stocks with IWM outperforming the tech laden NASDAQ and S&P 500 indexes. Mercado Libre (MELI) traded down after it posted excellent Q2 results – a case of ‘buy the rumor, sell the news’ and using strength Read more ➝
As we discussed at the end of July, the August rally in US small cap stocks has taken hold. Can this continue as major indexes close in on all time record levels?
Again looking at the hot tech sector, the potential value to growth rotation, Russia as a value and dividend play, and some contrarian bullish indictaors for stocks while bonds are simply stretched very far. Mercado Libre (MELI) stock reports next week and BAML is out with a nice target price for the bulls.