CLIENT TALKING POINTS
Euro
Euro back down to the low-end of my $1.05-1.08 risk range post yesterday’s hawkish USD move; European stocks like that so we’ll get another immediate-term TRADE overbought signal this morning in both the EuroStoxx50 and the DAX.
UST 10 YR
UST 10yr had a nice ramp back to 2.49% on the heels of Yellen telling consensus that neither she nor it is currently Hawkish Enough; if she’s “data dependent”, the data has clearly perpetuated this Dollar Up, Rates Up, Stocks Up 3 month TREND.
Earnings
370 of 500 companies have reported aggregate SALES and EPS growth of +4.3% and +5.2%, respectively – that’s what happens when you comp against an earnings recession (1H 2016), and Q117 earnings are only going to be better (especially Energy and Financials).
Asset Allocation
| CASH | US EQUITIES | INTL EQUITIES | COMMODITIES | FIXED INCOME | INTL CURRENCIES | |
|---|---|---|---|---|---|---|
| 2/14/17 | 47% | 14% | 12% | 11% | 0% | 16% |
| 2/15/17 | 51% | 13% | 11% | 10% | 0% | 15% |
Asset Allocation as a % of Max Preferred Exposure
| CASH | US EQUITIES | INTL EQUITIES | COMMODITIES | FIXED INCOME | INTL CURRENCIES | |
|---|---|---|---|---|---|---|
| 2/14/17 | 47% | 42% | 36% | 33% | 0% | 48% |
| 2/15/17 | 51% | 39% | 33% | 30% | 0% | 45% |
THREE FOR THE ROAD
TWEET OF THE DAY
ICYMI: A Simple Playbook for European Stocks app.hedgeye.com/insights/57322
@Hedgeye
QUOTE OF THE DAY
“A wrong decision is better than indecision.”
–Tony Soprano
STAT OF THE DAY
The typical root canal costs anywhere between $900 and $1,100 per tooth!
