Archive | August, 2015

Is the Chinese Yuan Undervalued or Overvalued?

Pic3

Almost all of the recent analysis surrounding China’s recent currency fluctuation takes for granted that China just joined the global currency war by engaging in competitive devaluation in an effort to spur exports and thus growth. We offer a different take, that the recent move that in effect loosens up control over the peg (slightly) is […]

An Update on the YTD Performance of the Gavekal Knowledge Leaders Indexes

Amid the recent market turmoil we thought we’d provide readers an update on the performance of our Knowledge Leaders Indexes. YTD, both the DM and EM indexes continue to outperform their benchmarks. As of yesterday’s close, the Gavekal Knowledge Leaders Developed World Total Return Index has outperformed the MSCI World Total Return Index by 5.85% […]

S&P500 Breaking Through 200-Day Moving Average

Pic1

Quick bulletin here. Yesterday we noted that several important assets were at critical support levels. Among them was the S&P 500 which as of yesterday was hugging its own 200-day moving average, an important level that the index has bounced off of multiple times over the last several years. Today the S&P 500 is breaking […]

The Markets Are at a Number of Critical Levels Here

Pic1

Today is shaping up to be an interesting day of trading so far. We’ve got oil breaking down, copper breaking down (again), the S&P 500 and 10-year treasury bond sitting pat on their 200-day moving averages, and EM stocks just about touching their 2011 low. Needless to say, the coming days will be interesting because […]

Intelligently Investing in EMs Easier Said than Done: The Largest EM ETFs Haven’t Kept Pace With Changing Landscape

Pic2

Emerging Market (EM) equities have had all sorts of trouble so far in 2015. For US dollar based investors, weakening EM currencies coupled with falling stocks in local currency terms has led the preeminent emerging market stocks index  – the MSCI Emerging Markets Index – to be down roughly 17% from its recent high. As […]