Daily Archives: Oct 10, 2018 at 08:27 am EDT

What Are You Expecting From Gold In Your Portfolio Strategy?

Gold is deemed an essential piece of the asset allocation pie in some corners. The reasons vary, depending on the investor, although it’s not uncommon to hear rationales that sound more like religious sermons on the mystical properties of the yellow metal. From an econometric perspective, gold’s attributes for portfolio design are relatively ordinary by way of closely aligning with the inverse return of the US dollar. As such, using gold in portfolios can and arguably should be viewed as a quasi-forex trade as opposed to an all-weather hedge that can never go wrong.
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Macro Briefing: 10 October 2018

Is China’s $1 trillion-plus Treasury portfolio a risk factor in a trade war? NY Times
Trump renews threat to slap more tariffs on Chinese imports: Reuters
IMF: investors are underestimating risk of a new financial crisis: Bloomberg
US Treasury secretary warns China on currency devaluation: FT
Hurricane Michael may be strongest storm to strike Florida’s Panhandle: WaPo
Nikki Haley, US ambassador to UN, surprises GOP with resignation: The Hill
Trump says Fed is hiking rates too fast: Politico
Sears reportedly close to bankruptcy filing: CNBC
US Small Business Optimism Index remains close to 45-year high in Sep: NFIB