Market wise, not much has changed in my opinion. I will comment on one thing that really stood out in the HK financial community, however. After talking to a large amount of traders, from small or large firms, sentiment on commodities is extremely bearish. And I repeat, extremely bearish. Just about everyone thinks that Precious Metals, Iron Ore, Crude Oil, countries such as Canada or Australia, mining & metals industry is all going to hell in a hand basket.
As already noted last week, I have started buying some Silver. I have more purchase orders at levels between $15.00 and $14.60, all of which are major support levels from various times in 2000s. US Dollar continues to push higher into 88.50 / 89.00 resistance zone, while Japanese Yen is now extremely oversold. Consensus is really pushing on sided here and a reversal could be in the cards.
Focusing on shares, US equity markets might have a pull back or a breather soon, as they have rallied powerfully out of infection point in middle of October. All the bears have been crushed in the US equities, but Eurozone recovery has been rather weak when priced in USD (due to a weak Euro). In the equity space I continue to favor Russian, Japanese and Chinese stocks, and have started buying the latter (MSCI China) as already noted in the last post. I am watching the tape closely here, as I try to anticipate a possible upside breakout.
I hope to see some of you next week in Shanghai!