Weak dollar boosts Reflation Trade

by | Jul 31, 2009 | Macro

Ten Month Low on the Dollar The US Dollar Index Future (DXY) gapped down 1.3% today at 78.27 approaching September 2008 lows. This dollar drop immediately brought money into gold up nearly 2% to the 950+ level. Gold is the pure play on the dollar. Gold and silver...

Medarex acquisition ignites broad biotech rally

Bristol Myers announced Thursday that they will buy Medarex (MEDX) for $16/share or $2.1B a 90% premium over yesterdays’ market price of $8.40. Medarex is one of the leading biotech companies focused in human antibody development for use in a broad range of...

Rally Update:Energy and metals lead the way

As of this writing two hours before the Friday close crude was above $63 up 3%. Since this rally began last week energy stocks have moved up in lockstep. Better than expected housing starts today have boosted the energy complex with volatile nat gas stocks such as KWK...

Broad market move up 2%+; Reflation trade back

The reflation trade caught some bids today with energy, precious metal, real estate, agricultural and industrial stocks all following the lead of the financials.Many of the energy stocks are near their intermediate lows so this could be a good entry point for the...

Rayno 2009 Biotechnology Portfolio-Mid Year Update

The Rayno Biopharm Portfolio is flat YTD. This compares to the broad-based ETF IBB which also flat YTD and the XBI which is down 5% YTD. Biotech in 2009 has significantly lagged the NASDAQ which is up 11%, however the S&P 500 is down 2.7% YTD. The Rayno portfolio...

Reflation Trade kicks back: stay cautious

The gloomy job report has risk traders seeking cash. * The Dow,S&P and Nasdaq were all down 2.6% +. * Money flowed into the Dollar and US Treasuries as investors were seeking safety. * Precious metal stocks were down 3%; gold was down 1.25%. * The energy sector...

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