Dan Amoss, CFA, tracks aggressive accounting and other red flags that markets miss. He’s a student of the Austrian School of economics and Daily Reckoning fan since 2000. Agora Financial relies on Dan for macro market commentary as well as profitable plays like his 2008 call to readers to buy Lehman Bros. puts, which...
Gold and gold stocks sold off sharply in Monday’s trading session. The hope seems to be that a vaccine will cause the economy to quickly return to the way it was in 2019, thereby leaving less need for fiscal and monetary stimulus. As Jim will elaborate further in the future, that is not what we expect. The case for gold and gold stocks is as strong as ever and sharp sell-offs in our recommended gold stocks are buying opportunities. For now, read on as Dan gives guidance on all the open positions, including one sell alert that was issued last week.
Despite the widespread belief that easy Fed policies and high stock prices have made everything better, we are still in a very risky environment for many financial assets. The Fed has shown that it can quickly flood financial markets with liquidity. But it can’t create jobs or recapitalize overly indebted businesses. We expect to see high market volatility heading into November elections, and probably well beyond election day. Dan gives a review of all the open positions currently in our portfolio, including some previous buys moved to holds.
Jim warns against multiple risks facing the U.S. economy in the months ahead. Although recent vaccine developments are positive news, it’s going to take at least another six months for them to get into widespread circulation. In the meantime, Jim expects another wave of business lockdowns and the net effect will be a surprise to the downside in the U.S. economy in early 2021. For now, read on as Dan gives guidance on all the open positions, including one buy moved to a hold and details on five positions sold last week in the portfolio.
As the threat of inflation continues to be on the minds of Americans as well as Wall Street, Treasury Secretary Yellen made some interesting comments that made markets react. Also, the reopening of America is gaining speed but also has some danger signs ahead. Read Nomi’s commentary for her thoughts.
In our February briefing, Jim explained how the Fed has painted itself into a corner by promising to tighten policy despite clear signs of economic weakness. Even with major stock indices under pressure due to the Fed’s incompetence, many positions in our gold-heavy portfolio are expecting good 2021 fourth quarter financials during the month and higher prices as a result. For now, Dan gives guidance on the open positions in the portfolio.