Market insights and analysis

How dynamic, risk-managed investment solutions are performing in the current market environment

3rd Quarter | 2021

Market insights and analysis

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Updates on how dynamic, risk-managed investment solutions are performing in the current market environment.

The September 2021 ETF Deathwatch contains 331 zombie ETFs and ETNs.

Last week, the gold spot price was up 0.60% and the U.S. Dollar Index was down 0.14%.

U.S. equity markets posted gains in all three indexes last week. The S&P 500 gained 1.82%, the NASDAQ Composite gained 2.18%, and the Dow Jones Industrial Average gained 1.58%.

Equities were mixed for the third quarter, giving back most of their gains in September. The S&P 500 Index was the leader for the quarter with a 0.58% gain. The Russell 2000 small-capitalization index was the domestic laggard, down 4.36%. Emerging markets were the worst performers, falling 8.09%.

It’s almost Halloween, and we’re still in the middle of a scary period in the stock market. September is known as the worst-performing month of the year. October is the most volatile. Could there be a better time to discuss what frightens investors most—the things that go bump in the night?

Inflation nation

Last week, the price of gold moved up to $1,800 per ounce following the U.S. consumer price index report on Wednesday (October 13).

Major U.S. stock market indexes were mostly up last week. The S&P 500 increased by 0.79%, the Dow Jones Industrial Average was up 1.22%, the NASDAQ Composite gained 0.09%, and the Russell 2000 small-capitalization index was down 0.38%. The 10-year Treasury bond yield rose 15 basis points to 1.61%, taking Treasury bonds lower for the week. Spot gold closed at $1,757.13, down 0.22%.

Last week, the gold spot price was down 0.22% and the U.S. Dollar Index was up 0.03%.

U.S. equity markets posted gains in all three indexes last week. The S&P 500 gained 0.79%, the NASDAQ Composite gained 0.09%, and the Dow Jones Industrial Average gained 1.22%.

Whether you are talking to portfolio managers, researchers, financial advisers, or marketing experts in the financial-services industry, the conventional wisdom seems to be that investors are motivated primarily by two emotions: greed and fear.

Stagflation paradox

Following the release of the U.S. employment report on Friday (October 8), gold prices shot up to the 50-day moving average and then settled back down to the support at $1,750 per ounce.

I seem to say this each year around the beginning of October: It’s hard to believe the NFL football season is already a quarter gone. (Though I have to keep reminding myself that it is 17 games for the first season ever.)

The major U.S. stock market indexes fell significantly last week. The NASDAQ Composite tumbled 3.20%, the S&P 500 fell 2.21%, the Dow Jones Industrial Average was down 1.36%, and the Russell 2000 lost 0.29%. The 10-year Treasury bond yield rose 1 basis point to 1.46%, though bonds were largely down for the week. Spot gold closed the week at $1,760.98, up 0.60%.

U.S. equity markets posted losses in all three indexes last week. The S&P 500 lost 2.21%, the NASDAQ Composite lost 3.20%, and the Dow Jones Industrial Average lost 1.36%.

Last week, the gold spot price was up 0.60% and the U.S. Dollar Index was up 0.76%.

Supply shock

Last week, gold prices bounced back above the support line at $1,750 per ounce, closing the week at $1,758.40 per ounce.

Market Update 9/27/21

Major U.S. stock market indexes were up last week. The S&P 500 increased by 0.51%, the Dow Jones Industrial Average was up 0.62%, the NASDAQ Composite gained 0.02%, and the Russell 2000 small-capitalization index was up 0.50%. The 10-year Treasury bond yield rose 9 basis points to 1.45%, taking Treasury bonds lower for the week. Spot gold closed at $1,750.42, down 0.22%.

Last week, the gold spot price was down 0.22% and the U.S. Dollar Index was up 0.14%.

U.S. equity markets posted gains in all three indexes last week. The S&P 500 gained 0.51%, the NASDAQ Composite gained 0.02%, and the Dow Jones Industrial Average gained 0.62%.

I’ve been dealing with knee problems for several years now. As a result, I started reviewing medical literature looking for options. During my research, I read a blog post by Dr. Kevin Stone of the San Francisco–based Stone Clinic. The clinic is considered one of the leading knee clinics in the county. It is the first stop for many pro athletes dealing with knee injuries.

Last week, gold prices continued to find support at $1,750 per ounce.

Market Update 9/20/21

The major U.S. stock market indexes were mixed last week. The Russell 2000 gained 0.42%, the NASDAQ Composite fell 0.47%, the S&P 500 was down 0.57%, and the Dow Jones Industrial Average lost 0.07%. The 10-year Treasury bond yield rose 2 basis points to 1.36%, though bonds were mixed for the week. Spot gold closed the week at $1,754.34, down 1.86%.

Last week, the gold spot price was down 1.86% and the U.S. Dollar Index was up 0.66%.

U.S. equity markets posted losses in all three indexes last week. The S&P 500 lost 0.57%, the NASDAQ Composite lost 0.47%, and the Dow Jones Industrial Average lost 0.07%

Bring on the future

A few years ago, two things made me think about what Flexible Plan does from a different perspective.

Gold prices retraced to find support at $1,750 per ounce last week.

Market Update 9/13/21

The major U.S. stock market indexes were generally lower last week. The Dow Jones Industrial Average lost 2.1%, the S&P 500 Index fell 1.7%, the NASDAQ Composite gave up 1.6%, and the Russell 2000 small-capitalization index slumped 2.8%. The 10-year Treasury bond yield gained 2 basis points to finish at 1.28%, sending bond prices lower for the week. Spot gold closed the week at $1,788.35, down $39.37 per ounce, or 2.2%.

U.S. equity markets posted losses in all three indexes last week. The S&P 500 lost 1.69%, the NASDAQ Composite lost 1.61%, and the Dow Jones Industrial Average lost 2.15%.

Last week, the gold spot price was down 2.20% and the U.S. Dollar Index was up 0.59%.

Since I began investing in the late 1960s, I have always been in the active investing camp. When I started Flexible Plan Investments, Ltd., in 1981, the only investment services we offered were active management (and that is still true today). I thought an investment manager should be “flexible” rather than locked into a rigid buy-and-hold approach.

Last week, gold prices retraced back to support levels found at the 50-day moving average.

August ETF Deathwatch contains 330 zombie ETFs and ETNs.

Market Update 9/7/21

Major U.S. stock market indexes were mixed last week. The S&P 500 increased by 0.58%, the Dow Jones Industrial Average was down 0.24%, the NASDAQ Composite gained 1.55%, and the Russell 2000 small-capitalization index was up 0.65%. The 10-year Treasury bond yield rose 1 basis point to 1.32%, taking Treasury bonds lower for the week. Spot gold closed at $1,827.73, up 0.56%.

Remembering 9/11

I cannot imagine writing about any other topic this week than the 20th anniversary of 9/11.

U.S. equity markets posted gains in two of the three indexes last week. The S&P 500 gained 0.58%, the NASDAQ Composite gained 1.55%, and the Dow Jones Industrial Average lost 0.24%.

Last week, the gold spot price was up 0.56% and the U.S. Dollar Index was down 0.7%.

Gold resumed its upward surge on Friday (September 3), when the U.S. employment report for August showed a shocking shortfall in new jobs.

The major U.S. stock market indexes ended significantly higher last week, with several indexes hitting all-time highs. The Russell 2000 turned in the best performance with a 5.05% gain, the NASDAQ Composite rose 2.82%, the S&P 500 was up 1.52%, and the Dow Jones Industrial Average gained 0.96%. The 10-year Treasury bond yield rose 5 basis points to 1.31%, taking bonds slightly down for the week. Spot gold closed the week at $1,817.57, up 2.05%.

Eleven years ago, I wrote about the triumph resulting from having a plan B. In today’s headlines, we can see what happens when there is no plan B.

Last week, the gold spot price was up 2.05% and the U.S. Dollar Index was down 0.87%.

U.S. equity markets posted gains in all three indexes last week. The S&P 500 gained 1.52%, the NASDAQ Composite gained 2.82%, and the Dow Jones Industrial Average gained 0.96%.

After the tragic deaths of 13 United States service members last week in Afghanistan, gold prices surged above both the 50-day and 200-day moving averages, closing the week at $1,819.50 per ounce.

July ETF Deathwatch contains 327 zombie ETFs and ETNs.

Major U.S. stock market indexes were down last week. The S&P 500 decreased by 0.59%, the Dow Jones Industrial Average was down 1.11%, the NASDAQ Composite declined by 0.73%, and the Russell 2000 small-capitalization index lost 2.50%. The 10-year Treasury bond yield fell 2 basis points to 1.26%, taking Treasury bonds higher for the week. Spot gold closed at $1,781.11, up 0.08%.

Investors received a small taste of downside volatility last week, with the major indexes recovering on Friday to see only a small weekly decline.

U.S. equity markets posted losses in all three indexes last week.

Last week, the gold spot price was up 0.08% and the U.S. Dollar Index was up 1.06%.

Gold rose above its previous support level at $1,750 per ounce last week to close the week at $1,784 per ounce.

In medicine, as in sports, much of the excitement is generated by the knockout punch—the quick, single action that is going to end both a fight and an illness. But just as we often saw in the Olympics, and as we are increasingly finding in medicine, the practical solution comes in the combination, the one-two punches, that score the most points and earn a victory.

Major U.S. stock market indexes were mixed last week. The S&P 500 increased by 0.71%, the Dow Jones Industrial Average was up 0.87%, the NASDAQ Composite declined by 0.09%, and the Russell 2000 small-capitalization index lost 1.10%. The 10-year Treasury bond yield fell 2 basis points to 1.28%, taking Treasury bonds higher for the week. Spot gold closed at $1,779.74, up 0.95%.