The market closes out the year without really finding a direction. Commodities have been the favoured sectors for the year. Energy has been the favoured sector for the year.
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Shipping companies appear to be attractively priced right now. The U.S. Global Sea to Sky Cargo Index (SEAX) currently has a price-to-earnings ratio (P/E) of just over 2.0, which is significantly lower than stocks in related sectors and industries (transportation and industrials), as well as the S&P 500 and tech-heavy Nasdaq-100. The U.S. Global Sea to Sky ETF (NYSE: SEA) seeks to track the performance, before fees and expenses, of SEAX, a 29-stock index that provides diversified access to the global sea shipping and air freight industries. The index uses various fundamental screens to determine the most efficient sea shipping, air freight and port companies in the world.
Extreme Greed The price action indicates a market which does not believe the Federal Reserve. It is an identifier that extreme greed is taking place. Source: https://twitter.com/LanceRoberts/status/1622562862173388801 We are at a seminal moment in financial history. Similar levels of greed predicted the crash of 1929. They predicted the tremendous stock and bond losses in three periods in the inflationary 60’s and 70’s. This indicator reached similar levels prior to the housing collapse in 2007. Our equity markets would then drop 50% thereafter.
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