In the autumn of 2018, Felix Zulauf, head of the Swiss hedge fund Zulauf Asset Management, said investors are facing the beginning of a "structural bear market". In other words, not much upside and a central bank limited disadvantage.
"If the market sells 20%, 25% or so, they will support it and the market will recover," he said. "Then it fades again and it goes deeper than last time. This is a very serious, very difficult market.
Shortly after this call, the stock market broke up to begin a new attack on record highs in 2019. Zulauf's attitude was pretty much on the dot, and now he assumes that the current rally is limited and follows a mostly grim assessment of what's next.
Attendance Has Certainly Made Some Epic Ranks Over the course of his long investment career, he has had dropouts, including when he was a top executive at UBS and had completely displaced his clients in 1
However, he is back to his bearish behavior in our call of the day .
In an interview posted on the Financial Sense blog, Zulauf believes that a trade agreement between the US and China is likely, but any positive impact on the market will be short-lived. Investors are then confronted with a sales situation.
Meanwhile, Zul said from a macroeconomic point of view, economists are too optimistic about growth prospects, and as he has been saying for some time, the second half is difficult. He sees further negative surprises this year, producing shocks that could ultimately affect all major economies.
In particular, he is looking for the US to grow strongly, with China also facing some headwinds.
"The current optimism that things that have been wrong for quite some time have reached a low point is premature," said Zulauf in an interview. "I think the consensus will be disappointed again in the second half of the year, and that will affect the bottom line of the corporate sector."
S & P 500
SPX, + 0.10%
COMP, + 0.14%
are all higher. The dollar
has risen slightly as gold has risen
is deeper. Rough
is also under pressure. More in Market Snapshot.
SXXP, + 0.13%
fell, led by Spanish stocks
IBEX, + 0.01%
after the Socialist Party won the elections on Sunday, but must form alliances to stay in power. Asian stocks
ADOW, + 0.39%
AAPL, + 0.52%
reported on Tuesday, so it should be abundant in the next few sessions. Most importantly, investors are prepared to listen to the word and word for what the company wants to do with its huge pile of cash. However, it is likely that Apple will stick to its previous strategy of returning cash to shareholders. The company had net cash of $ 130 billion at the end of 2018.
A bidding war could break out for the hydrocarbon exploration group Anadarko Petroleum
. Days later, the company agreed to sell $ 33 billion to Chevron
CVX, + 0.27%
Anadarko has allegedly now initiated negotiations for a sale to the rival Occidental Petroleum
say sources cited by Reuters.
More trouble for Boeing
BA, + 0.08%
? Allegedly, the aircraft manufacturer Southwest Airlines has said nothing about it
LUV, + 1.09%
Already in 2017, a security feature on the 737 Max Jets was deactivated, reports The Wall Street Journal.
TSLA, + 2.45%
just gave up, it is number 2 on the list of the largest US automakers based on market capitalization. ford
has just left the electric car maker behind as its market capitalization approaches that of General Motors # 1
GM, + 0.91%
Ford had the biggest one-day rally on Friday in a decade, while Tesla, which recorded its lowest level since January 2017, is experiencing a steady stream of problems seems to be fighting. Surely we did not hear the last of these tailor-made charts:
$ 1.2 billion – That's how much Disney deals with "Avengers: Endgame" in theaters around the world for the first five days. The train is making the previous record on the opening weekend, which was set with the previous $ 641 million film in the series, absolutely complete.
Entertainment giant's shares
increased by 1.5%.
"Our founders were very educated people. And maybe none other than an Alexander Hamilton, an immigrant who, thank God, arrived before the land was full. Honestly, I do not know why they let the guy in. Obviously someone had sneaked in on the southern border. "- Historian Ron Chernow, who spoke at the White House correspondent's dinner this weekend. Watch the full speech:
All eyes will be on the April report, but we will not get it by the end of the week. Further highlights are the Case-Shiller house prices on Tuesday and the car sales one day later. The Federal Open Market Committee (FOMC) is also meeting this week, but no policy changes are expected.
In terms of Monday, consumer spending data rose sharply in March, while the Dallas Fed maker survey later took place.
On Friday, data showed that the US economy grew 3.2% in the first quarter, more than the analysts. Expectations, partly thanks to the stockpiling of goods, although it was not immediately clear how, as the data showed that both domestic production and imports declined in the first three months of the year.
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Shanghai is destined for global hegemony.
Pope Francis puts his money where his mouth is on immigration.
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