Recep Erdogan

August 13, 2018

August 13, 2018

Stocks opened higher this morning but quickly faded on Turkey fears. The Dow and SPX are currently down 100 pts & .23%, respectively. Retailers, semiconductors and some FAANG stocks are clinging to small gains, but most everything else is in the red. The VIX Index  is trading up around 14, the highest in two weeks but still considered very low. Exchange trade volume is 11% below normal levels for this time of year, according to Bloomberg. European markets are down .5% and most of Asia was down more than 1% last night. The dollar appreciated about 1.2% over the last week as emerging markets currencies are losing ground. Not surprisingly, commodities are falling in value. WTI crude oil is down 1% to trade around $66.60/barrel. Remember, oil was over $70/barrel a month ago. Bonds are slightly lower in today’s trade. The 5-year Treasury yield is hovering around 2.74% and the 10-year is trading at 2.87%. 


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

August 10, 2018

August 10, 2018

US stock markets gapped down at the open this morning (Dow -168 pts; SPX -.5%). All eleven major market sectors are in the red. The worst performing groups are semiconductors and banks. The VIX Index jumped up to 12.6 today. European stock markets are down over 1% and Asia was mostly lower overnight. Commodities are mixed even though the dollar is much stronger today. WTI crude oil is trading back up around $67.60/barrel. Bonds are higher in price, lower in yield today. This is likely due to two factors: Turkey’s growing crisis (see below) and the CPI report (see below). The 10-year Treasury yield dipped to 2.88%.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.