The CAPE ratio, or Cyclically Adjusted Price Earnings ratio, is making headlines again. The stock market valuation indicator developed by Nobel laureate Robert Shiller is giving many investors headaches. But, […]
We are only halfway through January, but it doesn’t feel like a fresh start to the new year, now does it? From day one markets looked grim and sentiment turned […]
Here’s a very brief update on this year’s ‘Sell in May’ effect. The graph above shows that during last winter period (November – April) stocks yielded healthy returns. Especially in […]
Six years ago, on March 09, we hit the low in stock markets. After five quarters of falling stock prices, the S&P 500 index hit 666 (yes 666), the bottom […]
The relationship between stock market returns and volatility is negative. Common investor knowledge, I presume. Since the start of this millennium the correlation between weekly changes in the VIX index […]
Volatility is back. And it has not gone unnoticed. As the VIX index spiked to above 25 for the first time since June 2012, US equities plunged 8% since the […]
During the last couple of days, my Twitter timeline is held hostage by the number 20,000. As the Dow Jones nears this ‘magic’ number anxiety among investors is rising. But […]
Coincidence or credible warning signal? Whatever it was, the fact is that high yield bonds sold off way before equities got crushed this week. This week is no done yet, […]
It long seemed endless, the powerful rally in high yield bonds. But investors grew more cautious in recent weeks, pushing the prices of high yield bonds down. The positive correlation […]
Yesterday, I tweeted a graph of the Liv-ex Fine Wine index, generally considered as the benchmark index for red wine investments (specifically, Bordeaux red wine). It showed that wine prices […]
