Move Away From Low Bond Yields with Inverse ETFs

Move Away From Low Bond Yields with Inverse ETFs

May’s volatility due to the U.S.-China trade wars showed that it’s profitable to be a bear using inverse exchange-traded funds (ETFs) as equity ETF outflows reached $19 billion based on a recent report by State Street Global Advisors. Inverse ETFs present the experienced investor with an alternative for gains that safe haven assets like bonds simply cannot provide. “The current economic environment presents challenges for investors trying to manage their portfolios,” wrote Leks Gerlak, Investment Strategist at ProShares. “Timing the market can be challenging, especially during periods of volatility. Investors…

The Bear Trade In USOD Is Stretched – United States 3x Short Oil Fund ETF (NYSEARCA:USOD)

A little over a month and a half ago, I recommended that investors consider buying the United States 3x Short Oil Fund ETF (USOD). Since then, shares have increased by about 60% as the price of WTI crude has collapsed. Along the way, I suggested that investors take profit in the position due to resurgence of bullish fundamentals. In this article, I am going to revisit the thesis which led to the recommendation and discuss why I believe that even though the fundamentals are now bearish, it’s time to completely…

G20 agrees to push ahead with digital tax: communique By Reuters

© Reuters. FILE PHOTO: The logos of Amazon, Apple, Facebook and Google By Stanley White and Jan Strupczewski FUKUOKA, Japan (Reuters) – Group of 20 finance ministers agreed on Saturday to compile common rules to close loopholes used by global tech giants such as Facebook (NASDAQ:) to reduce their corporate taxes, a copy of the bloc’s draft communique obtained by Reuters showed. Facebook, Google (NASDAQ:), Amazon (NASDAQ:), and other large technology firms face criticism for cutting their tax bills by booking profits in low-tax countries regardless of the location of…

Trump Is More Vulnerable to Democratic Attacks on Trade Than You Might Think

To President Trump, tariff “is a beautiful word indeed.” Just in the last few weeks, he increased tariffs on billions of Chinese imports and threatened Mexico with big new tariffs. His enthusiasm as trade-warrior-in-chief, though, has not been mirrored by the public. At least that is the conclusion to draw from opinion polling, which shows a rise in enthusiasm for trade deals — and suggests an opening that the Democratic presidential nominee could have in the 2020 election. That nominee could, strange as it may seem, have a pathway to…