When China sneezes, the global markets may catch a cold! The benchmark Shanghai composite closed officially in bear market territory on Tuesday. The smaller Shenzhen composite moved into bear market territory in February this year. The Shanghai and Shenzhen composites were down around 22% and 26%, respectively, from their 52-week highs. Among the factors weighing on the…
Monday proved to be a rather tumultuous day for global equities, as we largely expected. Over the weekend, Finom Group discussed the flight to safety plays at hand in the market last week, which may prove to foreshadow a turbulent time in the market for the present week. In our weekly research report to subscribers…
Divergence! A one-word sentence used appropriately to describe last week’s trading action where the Dow was significantly lower than its peer indices. The Dow Jones Industrial Average rose 119.19 points to 24,580.89 on Friday. Friday’s close marked the first gain for the index in nine sessions, snapping its longest losing streak since March 2017. Looking more…
Divergence! A one-word sentence used appropriately to describe last week’s trading action where the Dow was significantly lower than its peer indices. The Dow Jones Industrial Average rose 119.19 points to 24,580.89 on Friday. Friday’s close marked the first gain for the index in nine sessions, snapping its longest losing streak since March 2017. The S&P 500 gained 0.2%…...
It was an ugly day for the Dow Industrial Average yesterday with a rather large intraday reversal. While the point loss was modest, at down just 42 points, it marked the 7th consecutive negative print for the index. The Dow also experienced a more than 170-point swing intraday from positive to negative territory. On the…
In an investing world that is filled with various investment vehicles, strategies and practices, risk vs. reward usually plays a very critical role in how individual investors participate in the market. An era of central bank Quantitative Easing practices has been blamed for many of the extremes in both the equity and fixed income markets…...
Are you a short-VOL/VIX trader? If so you probably know what it feels like to have your trading style/strategy heavily scrutinized and even demonized in the media and seemingly endlessly. It’s with this sentiment in mind that I share with you our latest thoughts on certain of the media-driven insights on the volatility of the…...
Can it do it? Can the markets really shrug off the FOMC rate hike, the ECB’s scheduling of an end to its QE program and the declaration of $50bn in tariffs on Chinese goods? It’s not looking like U.S. equities will perform such a herculean accomplishment at the moment, with futures lower by less than…
You’ve heard the old adage, “It’s all fun and games until the Fed raises rates”, haven’t you? Of course that’s more a derivative of the more understood adage, but after a market pullback that ensued on the heels of the Fed announcing a .25% rate hike yesterday, I thought it fitting. So here we go…
While equity markets around the globe hit the pause button ahead of an onslaught of central bank announcements and press conferences, the beat must go on. In yesterday’s trading action, the Dow finished basically flat with the S&P 500 up .17% to 2,786. The tech-heavy Nasdaq was the outperformer once again, finishing higher by .57…
