14 July 2017: Not in our lifetimes…

“Would I say there will never, ever be another financial crisis? You know probably that would be going too far but I do think we’re much safer and I hope that it will not be in our lifetimes and I don’t believe it will be.” – Janet Yellen, Chair of the Board of Governors of the US Federal Reserve System

The next financial crisis will take place…? 

  • Next day
  • Next week
  • Next month
  • Next year

 

white-chapel-logo-small

The Dow closed at a second record high Thursday. Tech stocks made a gain for the fifth day in a row. The Dow closed 0.10% higher. The S&P 500 rose 0.19% and the NASDAQ was the highest gainer for the day: +0.21%. Volatility reached a territory of very low levels: the VIX closed almost 4 percent lower and dropped below the magical barrier of 10 points. UVXY ETFs had to take another loss and closed more than 2 percent lower. XIV ETNs gained another 1 percent.
Danny Daredevil was the loser among our models: his RSS dropped to 252%. Adventurous Anny is holding cash. Her RSS remained at 33%. Solid Suzy and Lazy Larry saw their RSS rise to almost 30%.
None of our models gave a trading signal at the end of yesterday’s session.

Model Holds Start date

RSS

YTD

QTD

AAR

Danny Daredevil UVXY 1 January 2016

251.77%

-12.74%

-19.19%

127%

Adventurous Anny Cash 6 March 2017

32.57%

32.57%

-4.39%

121%

Solid Suzy XIV 6 March 2017

29.81%

29.81%

3.71%

108%

Lazy Larry
XIV 6 March 2017

29.81%

29.81%

3.71%

108%

RSS = Return Since Start | YTD = Year-To-Date | QTD = Quarter-To-Date | AAR = Average Annual Return

 

RS_v05-smallRené’s Reflections @ Friday: Le Trump

Today is the day the French celebrate Bastille Day, also locally known as ‘Le Quatorze Juillet’ (the 14th of July). It is their National Holiday, the French equivalent of Independence Day. On this day in 1789, angry Parisians no longer accepted the absolute power of the king. They stormed and dismantled the Bastille prison, which stood as a symbol of the tyranny of the Bourbon monarchs. The event marked the beginning of the French Revolution, the revolution that laid the groundwork for our free modern world with its tripartite motto ‘liberté, égalité, fraternité’ (freedom, equality, brotherhood).
Today is also the second day of US President Donald Trump’s visit to France, the country that donated the Statue of Liberty back in 1886, to ‘commemorate Bastille Day’ at the invitation of France’s smart new President Emmanuel Macron. Would there be some space for Trump in his busy Paris agenda to instill in him the true meaning of the words ‘liberté, égalité, fraternité’?
A rhetorical question.