CLIENT TALKING POINTS
USD
Good #StrongDollar morning to all (if you get paid in Dollars, that is!) with USD coming off back-to-back weekly gains and the EUR/USD getting sold -0.7% to $1.05 again – the 15-day correlation b/t USD and SP500 = +0.83; 180-day = +0.73.
Europe
Equity markets love Down Euro and they’re getting both that and Greek Bailout action this morning with Greece’s 10yr Yield down -35bps to 6.93% (that’s -336bps y/y); Greek stocks +1.5% as EuroStoxx50 +0.6% ramps to 1yr highs.
Oil
+1.1% WTI move this morning as Oil’s Volatility (OVX) signal continues to crash to new 1yr lows (24-25); the CFTC net long position in crude is consensus (+2.23x on a 1yr z-score) but consensus can remain right longer than bears can remain solvent.
Asset Allocation
| CASH | US EQUITIES | INTL EQUITIES | COMMODITIES | FIXED INCOME | INTL CURRENCIES | |
|---|---|---|---|---|---|---|
| 2/20/17 | 42% | 15% | 13% | 11% | 0% | 19% |
| 2/21/17 | 40% | 16% | 14% | 12% | 0% | 18% |
Asset Allocation as a % of Max Preferred Exposure
| CASH | US EQUITIES | INTL EQUITIES | COMMODITIES | FIXED INCOME | INTL CURRENCIES | |
|---|---|---|---|---|---|---|
| 2/20/17 | 42% | 45% | 39% | 33% | 0% | 58% |
| 2/21/17 | 40% | 48% | 42% | 36% | 0% | 55% |
THREE FOR THE ROAD
TWEET OF THE DAY
“The virtuous cycle of capital has broken down,” says @DanielAlpert in this interview w/ @KeithMcCullough. app.hedgeye.com/feed_items/572
@Hedgeye
QUOTE OF THE DAY
“Never be a spectator while in the game. Be doing something at all times, even if it is only a decoy”.
–John Wooden
STAT OF THE DAY
The Kansas Jayhawks have won their 13th consecutive basketball Big 12 regular season title.