Market Review and Trends
Weaker Dollar Gives Hope to Small Cap, Value and Ex-US Global Stocks
By Investment Moats  •  August 15, 2020
The US dollar weakens. This is because a vast sums of money is pumped into the main street and financial markets to prevent a financial calamity. There are some possible repercussions. These are possibilities and not definite:
  • There are evidence to suggest the weakness in the US dollar is gonna last longer
  • Whether there is inflation or weakness in the currency would depend on each country’s central bank’s response
  • Equity markets remains more attractive than bonds
  • Ex US markets looked more attractive than US
  • Cyclical stocks, value, and small caps look to do better in this climate based on past data.
Market Sentiments Remain Surprisingly Bearish   Even after the run-up in market indexes, according to the widely followed AAII survey, sentiments are pretty bearish still. Market Value of US Stocks versus the World GDP Provides some Clues to Performance With the stunning rise in big American tech stocks, the U.S. portion of this global equity market capitalization is nearing all-time highs....
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By Investment Moats
Investment Moats is set up by Kyith Ng and have been around since 2005. He aims to share his experiences making sense of money, how money works and ways to grow his money. It hopes that by sharing his experiences, both good and bad, season investors can advice and critique his decisions and new investors can learn from them and find their own style ...
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