In Search Of A New Market Consensus

The loss of certainty about the Fed's first rate hike is causing more damage to financial markets than meets the eye. We can all have a good laugh about how wrong market consensus can be at times, but what's a market with no consensus? Confused. Divided. Directionless. Bearish. We now see it every day. No consensus is no conviction. No conviction means time to focus on what can go wrong. Credit Suisse's observation following recent visits to institutional clients around the world sums it up best: "Never have we seen so many clients who just do not know what is happening and have cashed up". Meanwhile, Citi's market sentiment indicator suggests bearishness rules. Is it a contrarian signal for investment returns ahead? Further in my Weekly Insights: why has McMillan Shakespeare (MMS) been left behind when all peers have proven popular? Plus insurers to benefit from El Nino's arrival this year. (VIEW LINK)


FNArena is a supplier of financial, business and economic news, analysis and data services.

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.