Increased Volume For MRRL Reduces The Case For MORL – UBS ETRACS Monthly Pay 2x Leveraged Mortgage REIT ETN (NYSEARCA:MORL)

Increased Volume For MRRL Reduces The Case For MORL - UBS ETRACS Monthly Pay 2x Leveraged Mortgage REIT ETN (NYSEARCA:MORL)

Note: This article was released to members 1-month ago. Investment thesis Investors should swap from MORL to MRRL due to MORL’s rising premium, while MRRL no longer has a liquidity problem. MORL and MRRL track the same index With ETRACS Monthly Pay 2xLeveraged Mortgage REIT ETN (MORL) has suspended new shares of its note (see “What To Do About MORL?”) last year, it gained the ability to trade at a significant premium over its “indicative value”, which is basically its NAV. Given that both MORL and ETRACS Monthly Pay 2xLeveraged…

Saudi Attacks, Rising Oil Prices Weigh on US Stock ETFs

U.S. markets and stock ETFs retreated on a spike in risk-off sentiment, following the weekend attack on Saudi Arabia’s oil facilities that sent crude price surging, but strength in the energy sector helped offset some of the broader selling. On Monday, the SPDR Dow Jones Industrial Average ETF (DIA A-) fell 0.5% while SPDR S&P 500 ETF (SPY A) was 0.4% lower. The energy sector, on the other hand, was the lone gainer on Monday, rising 3.8% as West Texas Intermediate crude oil prices jumped over 14% to $63 per…

KRE: An Out-Of-Favor Sector Poised For Sharp Rebound – SPDR S&P Regional Banking ETF (NYSEARCA:KRE)

KRE: An Out-Of-Favor Sector Poised For Sharp Rebound - SPDR S&P Regional Banking ETF (NYSEARCA:KRE)

I want to touch further on my article “4 Signs That Market Is Shifting To Risk-On” that was published on 9 September 2019, where I wrote down my observations that the technical charts of selected equity indices, gold, and Treasury yields were painting an imminent risk-on picture, very far from the recessionary warnings that have dominated mainstream financial media. Interestingly, on Monday, there was an out-sized surge in Value stocks relative to Momentum stocks, which leads me to think that we may be at an inflection point where Value stocks…

USOU: The Aggressive Long Crude Trade – USCF Funds Trust – United States 3x Oil Fund (NYSEARCA:USOU)

USOU: The Aggressive Long Crude Trade - USCF Funds Trust - United States 3x Oil Fund (NYSEARCA:USOU)

Over the last 24 hours, shares of the United States 3x Oil Fund (USOU) have rallied an astounding 34% on news regarding the attacks on oil infrastructure in Saudi Arabia. In this piece, I will make the case that this rally will likely see further upside. In other words, if you’re looking for the aggressive long trade in crude oil, USOU is a great buy at this time. The Instrument Let’s start with a walkthrough of what exactly USOU is. Put simply, USOU is USCF Investments’ amped up version of…

AB Inbev IPO: AB Inbev launches second Asia IPO attempt, targets up to $6.6 billion

HONG KONG: Anheuser-Busch InBev NV will kick off a second attempt to spin off its Asian business in Hong Kong with the launch on Wednesday of an IPO worth up to $6.6 billion that could be the world’s second largest flotation this year. The brewing giant, which in July tried to raise up to $9.8 billion through an initial public offering (IPO) of Budweiser Brewing Company APAC Ltd, said on Tuesday it would offer 1.3 billion shares at between HK$27 and HK$30 ($3.45-$3.83) apiece. The new offering includes a rare…