Asian equities closed mostly lower overnight (but not bad considering yesterday's rout in U.S. markets), with 10 of the 16 markets we track in the red. Europe's definitely having a rough go of it, with 16 of the 19 bourses we follow currently trading lower. U.S. stocks are struggling to find direction this morning: Dow down 110 points (-0.40%), S&P 500 down -0.15%, Nasdaq up 0.37%, Russell 2000 down -0.42%.
The VIX (S&P 500 implied volatility) is up 3.51%, at a dangerously high 33.57. VXN (Nasdaq vol) is down -0.16%.
Oil futures are up 0.86%, gold's up 0.24%, silver's up 0.29%, copper futures are up 0.15% and the ag complex is down -0.07%.
The 10-year treasury is rallying (yields falling) and the dollar is off -0.17% as I type.
Our core portfolio is splitting the difference so far this morning. With roughly half of our positions trading higher, led by tech, emerging market equities, consumer staples, the yen and utilities, while banks, energy, industrials, financials and Eurozone equities lead the losers. Result; basically flat, -0.09%.
Once again keeping the morning note brief (much to come in tomorrow's main weekly message), here are some words for the patient long-term investor to heed, and to live by, from Leon Levy's insightful book The Mind of Wall Street:
"...it is easy to lose sight of the fact that ultimately the market does reflect value, even if it may seem to lose its marbles for unbearably long periods."
"...as the legendary value investor Benjamin Graham once put it: In the short term, the market is like a voting machine, reflecting a company’s popularity, but over the long term, it more resembles a weighing machine, reflecting a company’s true value. This is the aspect of markets that allows the great investors to outdistance those who are lucky."
Have a great day!