Archive | November, 2015

The Dollar Is Peaking Out To A 146-Month High

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It took about a year of consolidation but it looks like the dollar could be on the verge of another breakout higher. After trading in a fairly tight range since the beginning of this year, the nominal trade-weighted dollar (major currencies) has poked out to its highest level since 9/4/2003. The dollar is now over […]

Zeihan Q&A, Part 3: China, Japan and Cyber Warfare


We recently had the pleasure of a visit by Peter Zeihan, geopolitical strategist and author of The Accidental Superpower. This is the final article of our 3-part series featuring the author in conversation with our investment team. In this section, Peter discusses the Chinese economy, Japan’s potential response to a new world order and cyber-attacks as […]

Knowledge Leader Company Spotlight: Continental AG


Continental AG (ticker: CON-DE) is a German-based Consumer Discretionary company engaged in the manufacture and sale of soft rubber products, rubberized fabrics, and solid tires via six distinct business segments. Chassis & Safety is comprised of vehicle dynamics, hydraulic braking systems, passive safety and sensors, and advanced driver assistance systems. The Powertrain segment focuses on […]

Do You Believe that China is “Fixed” as Copper Plunges to New Lows?

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The last two days have been met with the usual monthly slue of Chinese economic statistics including retail sales (+10.4% YoY), auto sales (+11.8% YoY), industrial production (+5.6 YoY), fixed asset (infrastructure) investment (+10.1% YoY), and bank loans (+15.6% YoY), among others (charts below). The fact that retail sales, auto sales, and bank loan growth have all […]

Still Waiting On That Leadership Change


We have mentioned before that we are keeping a close eye on performance since the 8/24 price low. We are anxious for new leadership to take hold to signal to us that the equity markets have entered into a new phase. The bottom line is that we still haven’t seen a wholesale change in equity leadership no matter […]

On Why Emerging Market Funds Are Ill Equipped to Capitalize on a Rebalancing China

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We’ve hashed out the arguments for a persistently slowing China in this blog many times, so we won’t go there again today. Instead, we want to focus on a different aspect of the slowing China reality: the fact that most investment products that focus on emerging markets are overweight exactly the wrong economic sectors. In […]

Zeihan Q&A, part 2: Russia, Germany and the refugee crisis


We recently had the pleasure of a visit by Peter Zeihan, author of The Accidental Superpower: The Next Generation of American Preeminence and the Coming Global Disorder. Below is the link to part 2 in a 3-part series on our discussion. In this section, Peter discusses recent events in Europe, specifically what’s next for Russia and Germany […]