What Should Be The “Right Amount” of Cash Allocation?
If you’re preparing your portfolio for the short term, the allocation to cash should be high. As the horizon increases, allocation to cash should go down.
Macroeconomic Analysis
Canadian Pacific: Domestic Intermodal Lifts Its Volumes
Canadian Pacific (CP) has witnessed a steady rise in intermodal volumes for the past few weeks. In the week ended March 25, 2017, its intermodal traffic rose 13.7%.
Long Positions Fall in the CFTC’s Commitment of Traders Report
The CFTC’s COT report states that hedge funds reduced their long positions for the week ending January 12, 2016. The net long positions fell by 20,673 contracts to 163,504 contracts during the week.
Copper Fell and Gold Stabilized on July 5
At 6:40 AM EST on July 5, the COMEX Copper futures contract for September delivery was trading at $2.2 per pound—a drop of 0.81%.
Italy’s Inflation Rate Rose in August: EWI Fell 0.40%
According to the August 31 release by the ISTAT, the EU’s harmonized inflation rate in Italy rose to an impressive 0.50% in August on a YoY (year-over-year) basis.
Uncertain Times for the Crude Oil Market: Neutral Doji Pattern
June WTI crude oil futures showed the neutral doji pattern on May 9. Oil prices are swinging due to the frequent change in supply and demand dynamics.
How the Eurozone ZEW Economic Sentiment Index Looked in October
According to a report by the Centre for European Economic Research (ZEW), the Eurozone ZEW Economic Sentiment Index fell to 26.7 so far in October compared to 31.7 in September.
How China’s Fertilizer Export Sector Is Changing
China is the largest consumer of nitrogen fertilizers, but it produces most of it within its borders. Urea is Chinese farmers’ top choice.
Platinum Touched Its Six-and-a-Half-Year Low in 2015
As automobile catalysts comprise ~44% of the demand for platinum, the Volkswagen scandal curbed the demand for diesel-fueled cars that use platinum as a catalyst. This pulled down the already depressed platinum and comparatively strengthened palladium.
How Did Potash Prices Change throughout the World Last Week?
The average weekly price of MOP (muriate of potash) at Vancouver has been flat since the beginning of March.
Crude Oil Rose, Copper and Gold Were Weaker in the Early Hours
At 5:35 AM EST, the West Texas Intermediate crude oil futures contract for January 2017 delivery was trading at $47.91 per barrel—a rise of ~5.9%.
China’s Yuan Share Rose in Global Currency Payments
According to the latest SWIFT RMB Tracker, the yuan—also known as the “renminbi”—accounted for 2.3% of the global payments in November 2015.
Why Did the German 2s30s Spread Dip on Quantitative Easing?
The 2s30s spread is the difference between the yield on the 30-year bond (TLT) and the yield on the two-year bond (SHY).
Will Trade Deal with Mercosur Bloc Boost Colombia’s Auto Sector?
Colombia (GXG) signed a deal with the Mercosur trade bloc on July 21, 2017, to allow the import of limited quantities of certain products without a tariff in the Colombian market.
These S&P 500 Stocks Have the Most ‘Sell’ Ratings
Among S&P 500 stocks, Franklin Resources, Inc. (BEN) has the highest percentage of “sell” ratings based on a FactSet report released on December 23. In 2019, BEN fell by 12.4%. Franklin Resources is a financial services stock. The Financial Select Sector SPDR Fund rose by 29.2% in the last year. BEN price target and institutional […]
What Are Generic Drugs and Why Are They Important?
TOM BUTCHER: What are generic drugs, and why are they important? JAMES DUFFY: Generic drugs are drugs that are comparable to their brand-name counterparts. They are comparable in terms of the dosage, effectiveness, and intended use. Generics are important because they are essentially a less-expensive alternative to their brand-name counterparts. This, of course, is expected […]
US Dollar near 9-Month High: Is It Bearish for Crude Oil Prices?
December WTI crude oil futures contracts rose on October 21, 2016, due to expectations of OPEC and Russia reaching an agreement to cap production.
Here’s How Tesla Has Changed Perceptions about Electric Vehicles
A few years ago, Tesla Motors showcased the true potential of EVs with its Roadster, Model S, and Model X.
Decoding the Major Oil Producers’ Meeting in Algeria
OPEC producers’ meeting was held from September 26–28, 2016. Crude oil prices rose 12% in August 2016 due to speculation about the meeting’s outcome.
Why the Ruble Is on the Rise
The recovery of oil prices in the latter half of 2016 has helped the Russian ruble to appreciate along with improved exports.
What to Expect from Crude Oil in 2017
WTI (West Texas Intermediate) crude oil (RYE) (IXC) (IEZ) futures for May delivery are near a four-month low as of March 27, 2017.
Rose Rock Midstream: Top Midstream MLP Loser on August 25
Rose Rock Midstream (RRMS) was the top loser among midstream MLPs at the end of trading on Tuesday, August 25. It fell 4.71% in a single trading session.
US Soda Update: Case Volumes Decline for the Tenth Straight Year
Carbonated soft drink volumes dropped to 8.8 billion 192-ounce cases in 2014. This is the tenth straight year of decline.
Is President Trump Robbing Peter to Pay Paul?
While higher steel prices benefit US steel producers, they raise input costs for downstream manufacturers.
What Are the Methods Used to Tackle ESG Issues?
There are some important things to know when analyzing ESG issues. Unlike traditional analysis, there’s no particular outlined method for conducting ESG analysis.
US Equities: 4th Consecutive Week of Outflow
US equities were impacted by weak jobs data and slower construction and manufacturing activity. But the energy sector attracted investors.
Why Latin American Economies May Be in Trouble
Worsening economic conditions in Brazil and Venezuela hit economic growth in Latin America in the first quarter of 2015.
Must-know: Alcoa’s Aerospace Segment Is Important
The aerospace segment is the one of the biggest aluminum consumers in the world. Alcoa (AA) got $4 billion in revenue from aerospace companies last year.
Crude Oil Prices Skyrocket as OPEC Agrees to Cut Production
Crude oil prices hit a one-month high as OPEC reached an agreement to cut production by 1.2 MMbpd in its meeting in Vienna.
European Markets Opened Higher amid Improved Global Sentiment
France’s CAC 40 Index quit falling last week and traded in a range of 5,200–5,100. This week, it opened higher amid improved global sentiment.
Why Genesee & Wyoming’s European Carloads Rose in November
Genesee & Wyoming’s (GWR) European carloads rose marginally 0.60% in November 2016. In the same period last year, GWR hauled 99,000 railcars.
Russian GDP Continues to Fall, Taiwan’s Export Orders Drop
The Russian economy fell by 0.6% on an annual basis in July—compared to Market expectations of a 1.0% decline and lower than a decline of 0.5% in June.
Did Macri’s Efforts Boost Argentina’s Growth in 1Q17?
Argentina’s economy expanded in 1Q17 after consecutive contractions over the last three quarters.
Dalio: Japan Is Undergoing an ‘Ugly Deflationary Deleveraging’
“Deleveraging” refers to reducing the debt level. With Japan’s debt burden, deleveraging the economy’s balance sheet seems more than imperative.
Why the High Volatility of the Japanese Yen in Recent Months?
The US dollar–Japanese yen currency pair has been one of the most volatile developed country currencies in the past six months. The Japanese yen saw heavy appreciation in August.
Why Are Gold ETFs Losing Their Allure?
With declining gold prices, the most famous gold ETF, the SPDR Gold Shares ETF (GLD), has also lost its allure. It’s trading at lower volume.
How Alcoa Looked In 2014
In this series, we’ll pay special attention to Alcoa’s 2014 performance and to how investors can play Alcoa and other aluminum companies in 2015.
How to Invest in Malaysian Equities via ETFs
If you want to invest in Malaysian equities, then the iShares MSCI Malaysia ETF (EWM) is the fund for you.
Investment-Grade Bond Funds Witness Inflows
Flows into investment-grade bond funds were positive for the week ending on October 14 after witnessing four consecutive weeks of outflows.
Consumer Activity Is on the Rise in India
Consumer spending in India (INDL) stood at ~17.8 trillion rupees in 4Q16, an 11% increase compared to 16.0 trillion rupees in 3Q16.
Analyzing the Correlation of Crude Oil and Industrial Metals
In the past year, US crude oil was more correlated with iron ore than copper. In August 2015, the correlation between crude oil and iron ore touched 75.5%.
Libya, Iran, and Nigeria Could Impact Crude Oil Prices in 2017
Libya’s crude oil production On December 20, 2016, Libya’s National Oil Corporation reported that pipelines leading from the Sharara and El Feel fields were reopened. The pipelines were closed for two years due to militant attacks. The pipelines are expected to add 270,000 bpd (barrels per day) of crude oil supply over the next three months. The […]
Mega Brands Set to Dominate in P&G’s New Product Portfolio
P&G plans to focus on superior brands in the 10 product categories in its portfolio. It expects one-third of them to surpass $1 billion in annual sales.
Why Did Crude Oil Prices Hit a 16-Month High?
At 5:45 AM EST on December 5, the WTI crude oil futures contract for January 2017 delivery was trading at $52.18 per barrel—a rise of ~0.97%.
Why Foreign Portfolio Investment in India Is Rising in 2017
For the first time since the 2008 financial crisis, FPI in 2015–2016 saw net outflows of about 181 billion rupees as compared to an inflow of about 2,274 billion rupees in 2014–15.
Will the Crude Oil Supply and Demand Gap Narrow by Early 2017?
The IEA forecast that the global crude oil supply and demand gap would decline to 200,000 bpd in 2H16—compared to 1.5 MMbpd in 1H16.
Bank of England Raises Interest Rate to 0.50%
The BOE (Bank of England) in its November meeting increased its benchmark interest rates from 0.25% to 0.50%.
Why To Expect Muted Returns from US Equities
We can expect muted returns from US equities going forward. US stocks face the prospect of higher interest rates, albeit gradual and from unusually low levels.
Why Did Genesee & Wyoming’s Australian Carloads Fall in July?
Genesee & Wyoming’s Australian carloads declined by 13.7% in July 2016, hauling more than 15,000 railcars, as compared to over 17,000 one year previously.
Cushing Crude Oil Inventories: More Pain for Oil Prices?
Market surveys estimate that Cushing crude oil inventories rose from March 3–10. A rise in crude oil inventories could pressure US crude oil prices.