Markets

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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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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To Hedge or Not To Hedge January 15, 2015

Posted by Knowledge Leaders Team in Markets

Today the Swiss National Bank removed the CHF/Euro peg and the Swiss Franc shot up relative to the USD.  In the chart below we can see the almost 15% drop in the value of the USD relative to the Swiss Franc.

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Despite Commodity Rout, Emerging Markets Are Outperforming YTD January 14, 2015

Posted by Knowledge Leaders Team in Markets

The MSCI All Country World index (MSCI ACWI) is comprised of two major sub-indexes: the MSCI World Index (80%) and the MSCI Emerging Markets index (20%).  On a year to date basis, measuring average performance in USD, the best performing group of companies are from Turkey and the worst are form Colombia.

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Stock Valuations Jumped Again in December January 13, 2015

Posted by Knowledge Leaders Team in Markets

By almost any measure stocks are pricey relative to history. We’ll save the theoretical debate about whether such high valuations are justified for another post, and will instead illustrate with charts just how far valuations have come over the last five years. The Shiller P/E just made a new cycle high in December of 27.1x.

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Estimates Revisions: Winners and Losers January 12, 2015

Posted by Knowledge Leaders Team in Markets

With earnings season on the horizon, we thought we’d take a quick tour of estimates around the globe.  Positive revisions to sales and earnings estimates in developed countries have hovered around 20% to 25%, respectively, over one-, three-, and six-month time periods.

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Down Gaps On the Rise January 08, 2015

Posted by Knowledge Leaders Team in Markets

As one measure of market volatility, we calculate the cumulative number of stocks in the MSCI World Index that open at least 2% higher (or lower) than the previous close over a 65-day time period.  Extremes in the number of gaps often occur in conjunction with inflection points in the market.

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