Everything You Need To Know For September – MM #157
The summer lull is about to end and Jackson Hole provides a hint for things to come. The calendar is packed with known events and a lot of known unknown events, such as the nomination of a new Fed Chair. We preview all the big events you need to know about. Jackson Hole: What can […]
Three Options Illustrating Smart Hedging Potential
Wesley Gray, the Alpha Architect, joined me recently in co-hosting a podcast with the Wharton School’s Nikolai Roussanov, one of world’s top academics on the topic of currencies. Roussanov’s academic work has focused on the carry trade—a currency factor he sees as explanatory in major currency group movements. The carry trade represents the tendency for higher interest rate currencies to […]
Diversify Into Gold On U.S. “Political Instability” Advises Blackrock
For now I would prefer to bet on gold’s diversifying properties rather than political stability” – Russ Koesterich, Blackrock. Not for the first time this year, Blackrock’s Koesterich has spoken about his faith in gold during times of both financial and political instability. Those times are now, the world’s largest money manager believes. Since the beginning […]
Pure Rubbish? What The Buffett Indicator Is Really Predicting
Every so often an article is produced that is so misleading that it must be addressed. The latest is from Sol Palha via the Huffington Post entitled: “Buffett Indicator Is Predicting A Stock Market Crash: Pure Nonsense.” Sol jumps right in with both feet stating: “Insanity equates to doing the same thing over and over again and […]
Harvey Damage Could Top $40 Billion: Only One In Six Insured, 15% Of Refining Capacity Down
Damage from Hurricane Harvey is expected to total tens of billions of dollars. Current estimates range from $20 billion to $40 billion, but only one in six have insurance. Bloomberg reports Harvey’s Cost Reaches Catastrophe as Modelers See Many Uninsured. Hurricane Harvey’s second act across southern Texas is turning into an economic catastrophe — with damages […]
Equities Creep Despite Creepy Weather
We’ve all seen the tales and photographs of death and destructions from Harvey……. …..which, naturally, in this psychotic market of hours, has meant equities have been creeping up all night long…… ……leading, as shown below, to a bullish engulfing candlestick pattern. Now, the ES is only up 0.17% as I’m typing this, but it’s up […]
Why Jackson Hole Was A Whole Bunch Of Nothing
In our week ahead preview we talked quite a bit about the implications of this week’s data deluge for yields, the dollar, and especially for EURUSD. The context for that discussion is of course the exceptionally dour sentiment around the greenback and the widely-held belief that the euro has become something of a “sure thing” […]
Ringing The Cash Register
Occasionally, things work out perfectly. I am sitting here in front of my screens, and ALL NINE of my current positions are in the green. That includes four “RISK ON” positions (X), (GS), (AAPL), (HD), and five hedging “RISK OFF” positions, (GDX), (AAPL), (ABX), (NEM), (GS). As a result the Mad Hedge Fund Trader alert services has just posted […]
Singapore Technologies Remains Profitable, Despite Growth Concerns
Background Singapore Technologies Engineering Limited is a Singapore software and engineering conglomerate with a major focus on the electronics and aerospace sectors. Via a subsidiary, it has the largest mechanical airframe maintenance, repair and overhaul (MRO) operations for commercial aircraft in the world. Business operations are conducted in 20 separate countries. Business Description The group’s […]
JPMorgan Sees Up To $20B Of Insured Losses From Harvey
Harvey could result in $10B-$20B of industry insured losses, making it one of the top 10 most costly hurricanes to hit the U.S., JPMorgan analyst Sarah DeWitt tells investors in a research note. The analyst lists Validus (VR), RenaissanceRe (RNR), Everest Re (RE), XL Group (XL), Arch Capital (ACGL), Travelers (TRV), Chubb (CB), Allstate (ALL) […]
