CLIENT TALKING POINTS
Financials
The last long that I left on this list finally blasted the bears yesterday, ramping +1.1% on the day (XLF), and signaled immediate-term TRADE overbought in doing so. The XLF will open this morning with an implied volatility DISCOUNT of -5%; hard not to make sales when an implied volatility premium gets smashed into a discount position.
Europe
Unlike US Equities, European stocks aren’t making fresh all-time highs, daily. With the Euro signaling immediate-term TRADE oversold yesterday vs. USD at $1.05 (risk range = 1.05-1.08), EuroStoxx50 and DAX are both signaling immediate-term TRADE overbought this morning as Greece continues lower -0.7% (-4.1% in the last month).
Copper
The Doctor finally flashes a big implied volatility DISCOUNT Of -18.8% (vs. 30-day realized volatility), so that’s clean cut overbought at $2.80/lb as well ahead of what should be a hawkish PPI report in the USA this morning.
Asset Allocation
| CASH | US EQUITIES | INTL EQUITIES | COMMODITIES | FIXED INCOME | INTL CURRENCIES | |
|---|---|---|---|---|---|---|
| 2/13/17 | 45% | 15% | 13% | 10% | 0% | 17% |
| 2/14/17 | 47% | 14% | 12% | 11% | 0% | 16% |
Asset Allocation as a % of Max Preferred Exposure
| CASH | US EQUITIES | INTL EQUITIES | COMMODITIES | FIXED INCOME | INTL CURRENCIES | |
|---|---|---|---|---|---|---|
| 2/13/17 | 45% | 45% | 39% | 30% | 0% | 52% |
| 2/14/17 | 47% | 42% | 36% | 33% | 0% | 48% |
THREE FOR THE ROAD
TWEET OF THE DAY
Investors should consider what happened to Salesforce shares last OCT. Rumors erupted & the stock fell -10%. $TWTR app.hedgeye.com/feed_items/572
@Hedgeye
QUOTE OF THE DAY
“I believe your attitude is the most important choice you can make”.
–Lou Holtz
STAT OF THE DAY
Uconn women's basketball has won 147 of its last 148 games.
