Equities have rallied 27 percent this year and that’s the cost of being bearish, though it is quite high, quipped Dean Curnutt, President and CEO of Macro Risk Advisors, when asked to comment on the distinctive feature of 2013 and the sudden market calm witnessed as of late. To be relevant and to manage money these days, it’s hard not …
One Man’s Opinion: Will Investors Have To Focus On Cyclical Sectors In 2014?
Investors in 2014 need to rotate from some of the defensive parts of the equity market into some of the more cyclical, said Andrew Goldberg, Global Market Strategist at JP Morgan Asset Management. One of the things that JP Morgan keeps track of is the number of countries who have a PMI (purchasing managers’ index) above 50, i.e. manufacturing and …
One Man’s Opinion: Will The Equity Rally Continue Next Year?
Friday was a fascinating day, because this was the day when the markets made up their mind that growth is good, said Jeff Korzenik, chief investment strategist at Fifth Third. But what is particularly interesting is that the markets are not afraid of the taper, as exemplified in the bond market today. This has a lot of implication for sector …
One Man’s Opinion: Will Equities Move Higher Until The Fed Starts To Raise Rates?
Janet Yellen is expected to be confirmed as the next head of the Federal Reserve, and the US employment number is her main concern. She has made it adequately clear that she’s single-mindedly focused on jobs and not really concerned about the inflation aspect or any other data point, said David Robin, managing director and co-head of financial futures and …
One Man’s Opinion: How Many European Banks May Fail ECB’s Stress Test?
Germany will lead the recovery within the core eurozone in 2014 while Spain will lead the recovery in the periphery, said Alberto Gallo, head of macro credit research at the Royal Bank of Scotland. The Eurozone faces deflation risk today because there has been too much austerity (government spending cuts) and bank deleveraging. Germany has already provided extra support to …
One Man’s Opinion: Does A Dovish Fed Make Life Difficult For The European Central Bank?
One could expect the Federal Reserve chair nominee Janet Yellen to very much explain the Fed policies because she has been the Fed vice-chair for the last two years. She has very much bought into the strategies being pursued by Bernanke said Jeremy Stretch, head of currency strategy at Canadian Imperial Bank of Commerce. That pretty much boxes analysts into …