A Crucial Signal That the Global Economy May Be Slowing

Posted On September 10, 2019 2:24 pm
By: Steve Smith

Monday saw one of the largest rotations in years as money managers shifted from growth into value stocks. Was this a sign of renewed caution concerning the global economy? Or simply a prudent rebalancing, heading into the fourth quarter.

Despite no apparent news numerous of this year’s best-performing stocks got hammered, many down over 10% or more on the day.

The selling was focused in growth names, especially technology and specifically cloud-based companies. They were both relentless and seemingly insensitive to price or technical levels.

This suggests that… Continue reading at StockNews.com

Tagged with: growth stocks

About author

Steve Smith

Steve Smith have been involved in all facets of the investment industry in a variety of roles ranging from speculator, educator, manager and advisor. This has taken him from the trading floors of Chicago to hedge funds on Wall Street to the world online. From 1987 to 1996, he served as a market maker at the Chicago Board of Options Exchange (CBOE) and Chicago Board of Trade (CBOT). From 1997 to 2007, he was a Senior Columnist and Managing Editor for TheStreet.com, handling their Option Alert and Short Report newsletters. The Option Alert was awarded the MIN “best business newsletter” in 2006. From 2009 to 2013, Smith was a Senior Columnist and Managing Editor for Minyanville’s OptionSmith newsletter, as well as a Risk Manager Consultant for New Vernon Capital LLC. Smith acted as an advisor to build models and option strategies to reduce portfolio exposure and enhance returns for the four main funds. Since 2015, he has worked for Adam Mesh Trading Group. There, he has managed Options360 and Earning 360, been co-leader of Option Academy, and contributed to The Option Specialist website.