Markets

Lowest Beta Stocks Have Been Outperforming January 26, 2015

Posted by Knowledge Leaders Team in Markets

Over the past month in the MSCI World Index, stocks with the lowest beta (divided up by deciles) are up 3.9%. Meanwhile, stocks with the highest beta are down 3.8%, creating a 7.7% performance gap between the lowest beta stocks and the highest beta stocks over the past month.

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Europe is Not Japan: Expensive Financial Stocks may not Rally Hard with QE January 23, 2015

Posted by Knowledge Leaders Team in Markets

Since the ECB announced its open ended QE program we have seen numerous parallels being drawn with Japan’s amped-up QE program announced in April of 2013, but telegraphed in late 2012. One of those parallels is that like Japanese financial stocks, Europe’s financial stocks should experience a sharp rally in the coming months.

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In Case You Missed It… January 22, 2015

Posted by Knowledge Leaders Team in Markets

The EUR is trading at levels not seen in over a decade, in the wake of the ECB’s big QE announcement today.

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Swiss Yield Curve Is Negative Out To 10 Years January 22, 2015

Posted by Knowledge Leaders Team in Markets

Has any government debt market ever had such a negative yield curve as Switzerland? One-year Swiss government bonds are currently ”yielding” -114 basis points. One week ago, one-year bonds were at -38 basis points and one month ago one-year bonds were at -23 basis points.  Astonishingly, 10-year Swiss government bonds are ”yielding” -20 basis points.

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VDAX Set to Rise? January 21, 2015

Posted by Knowledge Leaders Team in Markets

In recent history, each time the EUR has fallen relative to the dollar, the implied volatility of the German DAX has risen– sometimes rather sharply.

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When The Lead Stock Stumbles January 21, 2015

Posted by Knowledge Leaders Team in Markets

Off the October 3, 2008 low, Priceline.com has outperformed the MSCI All Country World index by roughly 1,100% making it the single best performing stock in the index.  For this reason, PCLN is the leadership stock in the index.

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Appearances Can Be Deceiving January 21, 2015

Posted by Knowledge Leaders Team in Markets

As we noted last week (here), emerging markets’ equities are off to a better start so far this year, falling just 0.78% versus the 1.34% decline in their developed market peers.

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Advances Continue to Decline January 20, 2015

Posted by Knowledge Leaders Team in Markets

With few exceptions, the 200-day moving average of the daily advance-decline ratio remains close to or below lows not seen since 2008– in direct contrast to the trend in prices for most MSCI sectors.

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Banking And Energy Industry Groups Making New Lows January 20, 2015

Posted by Knowledge Leaders Team in Markets

Across all regions of the developed world, the banking and energy industry groups have been the worst performers.  The MSCI World banking industry is within .5% of making a new 5-year low compared to the MSCI All Country World Index.

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Weak Stock Market Closes Surge to Highest Level Since 2012 January 15, 2015

Posted by Knowledge Leaders Team in Markets

While the intraday performance trend of the stock market isn’t everything, it often gives clues to possible directional changes in the overall trend of the market. One of the ways we measure the intraday trend of the market is to count the number of weak closes over a period of time.

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