German research institute ZEW reported yesterday that German investors and analysts have somewhat lower expectations on the growth of the German economy in comparison to May. And that is bad news for the rest of Europe. As Lars Gutheil of the Deutsch-Niederländische Handelskammer (German-Dutch Chamber of Commerce) once put it: if Germany sneezes, Germany’s trade partners will catch a cold. But the overall perspectives for the German economy are not bad at all. A lot will depend on how much the other European economies can contribute to the growth in the eurozone. Investors and analysts are not pessimistic about that perspective, but many European economies have a very long way to go to join the success of the German Wirtschaft. They may need a miracle to do so…
US stocks finished higher Tuesday with the Dow and S&P 500 closing at records following a rebound in tech shares. The Dow closed 0.44% higher, the S&P 500 gained slightly more (+0.45%) and the NASDAQ added 0.73%. As a result, volatility eased substantially: the VIX closed more than 9% lower. UVXY ETFs had to give up their gains of the previous days and more: -7.0%. XIV ETNs reached almost an all-time high after closing 3.5% higher.
Danny Daredevil lost substantially: his RSS dropped to 359%. His return for 2017 remains positive (14%) however. Adventurous Anny is still holding cash. Her RSS was unchanged: 39%. Solid Suzy and Lazy Larry reached new highs: their RSS closed above 23%.
None of our models gave a trading signal at the end of yesterday’s session.
RSS = Return Since Start | YTD = Year-To-Date | QTD = Quarter-To-Date | AAR = Average Annual Return
The Chapel Family – Episode 6
Danny: “The floor is lava.”
Anny: “The floor is lava!”
Larry: “Oh my God, the floor is lava!!!”