Ignoring risk has never been a good strategy!

Mathan Somasundaram

Deep Data Analytics

Local market started positive on the US lead before ASX crapped itself and trading was put on halt. We saw some slight trading through Chi X but nothing much today. Most of the news flow driven trades and global investors pushed the market high on the open and then market lockdown and that’s all the action for the day. We will play catch up tomorrow…assuming things are back online!!!

Europe real time data shows economic activity rolling over with lockdown restriction and ECB will have to print more to cover the downgrades coming. US post-election transition is a mess while covid19 spreading like wildfire. Number of the republican governors are being forced to start gradually moving towards lockdown restrictions as daily cases and hospitalizations hit all time high!!!

US market had a solid positive Friday on election and vaccine optimism. Trump administration lost cases in several states while Biden camp had more states confirmed. Legal challenges unlikely to flip results but buy time for more donations. Vaccine hope is being used by brokers pushing normality in 6 months...sadly we are not in Kansas anymore...new post pandemic norm is here and economies have to evolve!!! The switch from growth to value is clear...Russell is the best performer again by a margin over NASDAQ. Bonds barely moved while US$ and Oil fell. Gold lead the metals higher. More talk of restrictions and quarantine between states in the US as daily cases go past 150k. The rotation from high growth to cyclical as Energy and Industrials lead the run today. Election and Vaccine optimism in the price while bond yields are flagging the rotation has started.

Remain nimble, contrarian and cautiously pragmatic with elevated global macro risks!!! Buckle up...it’s going to get bumpy!!!

Not already a Livewire member?

Sign up today to get free access to investment ideas and strategies from Australia’s leading investors.

Deep Data Analytics provides this financial advice as an honest and reasonable opinion held at a point in time about an investment’s risk profile and merit and the information is provided by the Deep Data Analytics in good faith. The views of the adviser(s) do not necessarily reflect the views of the AFS Licensee. Deep Data Analytics has no obligation to update the opinion unless Deep Data Analytics is currently contracted to provide such an updated opinion. Deep Data Analytics does not warrant the accuracy of any information it sources from others. All statements as to future matters are not guaranteed to be accurate and any statements as to past performance do not represent future performance. Assessment of risk can be subjective. Portfolios of equity investments need to be well diversified and the risk appropriate for the investor. Equity investments in listed or unlisted companies yet to achieve a profit or with an equity value less than $50 million should collectively be a small component of a balanced portfolio, with smaller individual investment sizes than otherwise. Investors are responsible for their own investment decisions, unless a contract stipulates otherwise. Deep Data Analytics does not stand behind the capital value or performance of any investment. Subject to any terms implied by law and which cannot be excluded, Deep Data Analytics shall not be liable for any errors, omissions, defects or misrepresentations in the information (including by reasons of negligence, negligent misstatement or otherwise) or for any loss or damage (whether direct or indirect) suffered by persons who use or rely on the information. If any law prohibits the exclusion of such liability, Deep Data Analytics limits its liability to the re-supply of the Information, provided that such limitation is permitted by law and is fair and reasonable. Copyright © Deep Data Analytics. All rights reserved. This material is proprietary to Deep Data Analytics and may not be disclosed to third parties. Any unauthorized use, duplication or disclosure of this document is prohibited. The content has been approved for distribution by Deep Data Analytics (ABN 67 159 532 213 AFS Representative No. 1282992) which is a corporate approved representative of BR Securities (ABN 92 168 734 530 and holder of AFSL No. 456663). Deep Data Analytics is the business name of ABN 67 159 532 213.

1 topic

Mathan Somasundaram
Founder & CEO
Deep Data Analytics

Over 25 years’ experience in the finance/tech industry. Mathan has worked extensively in all parts of the finance sector (i.e. County NatWest, Citi, LIM, Southern Cross, Bell Potter, Baillieu Holst and Blue Ocean Equities). Currently Founder and...

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.


Sign In or Join Free to comment