View from Crystal Bay: Volatile Market Coming to an End

Investors aren’t limited to only investing in the S&P 500 and the Dow Jones Industrial Average. Every week we share the market trends we are following. We are interested in whether the trends in those markets are continuing or if they are experiencing a temporary or complete reversal. 

When we identify trends, we are only concerned about the price data and what it says about any given market. We don’t need to know why a trend has formed to invest, but our human nature wants to understand what is driving them. Each week we try to offer some perspective on what we think the most substantial moves are and what critical drivers are behind them. Here we look at what is going in our globally diversified, non-correlated Crystal Bay Ubitrend strategy. 

Last week’s Continuing trends: 

  • Natural Gas
  • Hard Red Winter Wheat
  • Soybean Meal
  • Oats
  • Gold

Last week’s reversing trends:

  • Orange Juice
  • European Corn
  • British and Canadian Government Bonds
  • Nasdaq Index

What we are taking note of:

Volatility in all markets was extremely subdued. After the fireworks of the last three months, a little bit of quiet may be welcomed by traders. 

How are we heading into next week? 

The Crystal Bay Ubitrend portfolio is starting to see growing deployment of capital. It is back in equities with a long position in Nasdaq index, it re-entered the currencies sector with a Euro-Pound cross rate position and added two new positions in agriculture. 

Rates remain the biggest sector by far, followed closely by agriculture. Metals, energy, equities, and currency sectors have one position each.