Take a look at this week’s Chart Book from Accuvest Global Advisors with updates on the following:
Global Financial Conditions
Global Equity Markets
Interest Rates and Fixed Income
The Economy
Major Currencies
Commodities
Investor Sentiment
Accuvest Global Advisors is a California based RIA and sub-advisor of the AdvisorShares Accuvest Global Opportunities ETF (ACCU) and the AdvisorShares Accuvest Global Long Short ETF (AGLS).
2. 2
Accuvest Weekly Update
Global Financial Conditions
• Following the Fed’s surprise “No Taper” decision last week, bonds have rallied while stocks have sold off
• Macro Risk and Financial Market Stress have moderated nicely this month
• The VIX Index (implied S&P 500 volatility) closed @ 15.46, up from 13.12 last week
• This week – Gold, Treasuries, and the Yen rallied, while Equities, Oil, and EM Currencies struggled
Global Equity Markets
• The MSCI All Country World Index dropped 0.7% this week, backing away from all-time highs but still above primary support
• The S&P 500 dropped 1.1% this week, and has underperform the ACWI, EAFE, and EM Indices over the last 3 months
• The MSCI Emerging Markets Index dropped 2.0% this week, backing away from short-term over bought levels
• Healthcare and Consumer Discretionary are the best performing Global Sectors year-to-date
• Basic Materials and Utilities are the worst performing Global Sectors year-to-date
Interest Rates and Fixed Income
• 10 year US Treasury Yields closed the week at 2.63%, down from 2.74% last week and 3.00% on Sept. 6th
• 10 year US Treasury Yields are forecasted to be 2.66% at the end of Q3 2013, and 2.85% at the end of Q4 2013
• Investment Grade Bonds rallied 0.8% this week. They have broken out of a 4 month downtrend and are back above the 50DMA
• High Yield Bonds sold off 0.6% this week, but remain above upward sloping 50 day and 200 day moving averages
• Average 30 Year Mortgage Rates @ 4.28%, down from 4.42% last week and 4.67% on Sept. 5th
3. 3
Accuvest Weekly Update
The Economy
• Housing/Real Estate and Labor Market continue to highlight the US Economy
• Next week’s U.S. economic calendar includes ISM Manufacturing (55.1), ADP Employment (+176k), Factory Order (+0.2%), and Change
in Nonfarm Payrolls (+180k)
Major Currencies
• The Pound(+7%), Euro(+6%), Krone(+6%), and Franc(+5%) have appreciated vs. the US Dollar over the last 6 months
• The Indonesian Rupiah(-14)%, Indian Rupee(-13%), and Aussie Dollar(-11%) have depreciated vs. the US Dollar over the last 6 months
• The Mexican Peso (+3.6%) and Turkish Lira (+0.8%) are forecasted to appreciate vs. the US Dollar through the end of 2013
• The Swiss Franc(-5.6%) and Danish Krone(-5.3%) are forecasted to depreciate vs. the US Dollar through the end of 2013
• MXN/USD @ 13.14, weakening from 12.85 last week
Commodities
• Commodities (an equally weighted basket) remain in a 5 year down trend
• Gold @ $1336/oz., up from $1326/oz. last week
• Crude Oil @ $102.87/barrel, down from $104.67/barrel last week, and $110.53 on Sept 6th
disclosure: The opinions expressed in this Weekly Chart Book report are those of the author. The materials and commentary are strictly
informational and should be used for research use only. This bulletin is not intended to provide investing or other advice or guidance with
respect to the matters addressed in the bulletin. All relevant facts, including individual circumstances, need to be considered by the reader to
arrive at investment conclusions that comply with matters addressed in this bulletin. Charts and information used in this report are sourced
from Bloomberg.
