Tag Archives: Hang seng

All Major Global Equity Markets Close Below Their 50-day M.A.

What a difference a trading day makes.   As of Friday’s close only seven of the fourteen major global indices that we track were below their 50-day moving averages.  As of today, they all are.  The S&P500,  Dow (just barely),  Nasdaq,  … Continue reading

Posted in Equities, Global Stock Performance | Tagged , , , | 3 Comments

Two Red Flags: Russell and the Hang Seng

We note that the Russell 2000 broke its 50-day moving average today and the Hang Seng pierced its 200-day last night.  We also just posted the S&P 500 looks ready to test its 50-day.    These two indices are key indicators … Continue reading

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Risk Management: Watch the Hang Seng

You know our schtick by now that we view the Hang Seng Index as the indicator species for global risk appetite and a signal as to whether the Mainland’s economy will land hard or soft.  Since returning from the Lunar … Continue reading

Posted in China, Equities, Monetary Policy | Tagged , , , , , | 2 Comments

Risk 2011: Fate of Commodities in China’s Hands

We begin our analysis with a little perspective on how we view the crisis.   The pre-crisis global aggregate demand was primarily driven by an over leveraged U.S. consumer, who was spending “fake wealth” created by a housing bubble financed by … Continue reading

Posted in Black Swan Watch, China, Commodities, Credit, Crude Oil, Equities, Monetary Policy, Sovereign Risk | Tagged , , , , | Leave a comment

China Rate Hike: Four Markets to Watch

Fearsome Foursome We’re watching the reaction in four markets to gauge how the Christmas gift from the Kings of the East will affect global risk appetite.   The People’s Bank of China increased both the benchmark lending rate by 25 basis … Continue reading

Posted in Black Swan Watch, BRICs, Commodities, Crude Oil, Equities, Monetary Policy | Tagged , , , , , , , , , , | Leave a comment

Hang Seng Bounces, Sets Up Santa Claus Rally

Nice rebound in the Hang Seng, which was threatening to break the neckline of a head and shoulders pattern.  As one of our indicator species for global risk,  the Hang Seng recovery paves the way for a Santa Claus rally … Continue reading

Posted in Equities, Uncategorized | Tagged , , | 4 Comments

End of December Global Stock Returns

The following table shows the 2000-09 average return for each day of the last seven days of the year for the major global averages.  The number 1, for example,  is the last trading day of the year. On average, the … Continue reading

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Hang Seng Index – Indicator Species for Global Risk?

We like to look at Hong Kong’s Hang Seng Index as the “indicator species” for global risk appetite.   Over our 25 years of trading, we have noticed that the Hang Seng tends to lead most risk markets and is … Continue reading

Posted in Charts, China, Equities | Tagged , , , , | 21 Comments