Rotation Stillborn

Ever-elusive, the pro-cyclical rotation trade appears to have been snuffed out yet again. There are two sides to this story. One one side, Thursday evening's blockbuster results from US tech titans suggest that, for now, there will be no passing of the leadership baton. On the other, rising jobless claims, D.C. paralysis, and dastardly reports from US energy giants collectively point to further underperformance from perennial laggards, undermining the case for a catch-up trade. Once again, the

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5 thoughts on “Rotation Stillborn

  1. This Post points out really well a change in the value structure of American Society in the wake of outsourcing vital jobs in industries that are critical to our lives and revaluing/ replacing for the sake of leisure (or pick your own word ) …. Is the newest I-Phone or what’s hyped on Facebook really that vital or important,,, Answer is yes if you have become consumer oriented enough and that can be a generational issue as well as a feature of (Robber Barron style Corporatism ) May be time for a ‘ Values Check ‘ instead of a stimulus check … Revenues derived from adds by these Giants seems to tell a similar tale….

    1. Well, maybe not energy but the good names in investment banking should pick up. When they launch they tend to launch fast. There were also some comments here recently, referring to the JPM quant Mr K regarding potential benefits of having some bank names in your portfolio

  2. I just finished reviewing the Ray Dalio article you posted on July 16. It looks like after “printing money and credit” comes “Revolutions and Wars” followed by “Debt and Political Restructuring”

    Oh joy. Lots to look forward to.

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