Global Stocks are in Red and the News Sentiment remains Neutral.

The most global index stocks closed by red mark for the week. The tech shares were under panic selling pressure on last Thursday and early session of Friday due to the recent market rally, which completely disconnected to current fundamentals. Later it was recovered the portion from its intraday bottom. However, the news sentiment remains neutral. U.S primary Indexes marked with the red sign about -2% to -3.5%.

The volatility of the market increased significantly for the previous two months. The European stock indices closed lower for the week within the range of -0.75% to -2.75%, followed by the largest decline in U.S tech shares. The ECB under pressure as eurozone falls into deflation.

Most of the APAC indices closed lower for the week. Hang Seng Index closed about -2.86% as a weekly loss. However, Japan’s Nikkie Index closed higher with the significant positive mark of 1.41 % despite the international pressure and the expectation of more stimulus packages (https://www.cnbc.com/2018/09/06/boj-kataoka-urges-more-stimulus-to-reach-inflation-target.html).

Weekly market movement

Underlying movement-Sep-07

Gold remains in the zigzag movement and ended flat with the marginal up about 0.36% for the week. The week’s volatility extended to oil, as the price of crude dropped around 8%, below the $40 per barrel mark for the first time in more than a month. The value of the cryptocurrency bitcoin fell about 10% for the week.

Sentiment Analysis

The below charts show the trend in the news and social media sentiment for the week. The U.S market sentiment dominated by neutral in news sentiment trend direction for the week. The Dow Jones Index remains negative for the week.

The U.S Labour data released last week showing initial jobless claims coming in at 881,000, beating analysts’ estimates. The economy also added 1.4 million jobs in August, with 10.1% growth in productivity. In contrasts, The U.S. economy posted its largest quarterly decline in GDP in the second quarter, contracting by an annualized rate of -32% which is four times bigger than the period of during the’ 08-09- financial, crisis.

The global liquid indexes denominated by neutral sentiment for the week. FTSE MIB and NIFTY-50 Indices are showing the negative sentiment trend. On the other hand, Japan’s Nikkie 225 Index continuing to positive sentiment direction.

Sentiment Trend Chart

Sentiment Trend_Sep-07

The following critical economic data refer https://www.fxstreet.com/economic-calendar this week include Consumer Credit, CPI data, and hourly earnings growth.

Sentiment Trend

Sentiment levels-Sep-07

Note: The sentiment scores applicable as an additional overlay for your existing models to improve the performance further.

Buy & Sell Signals

The below table is showing the buy/sell signals generated based on InfoTrie’s proprietary Investment/ Trading models. These models are developed with the combination of technical, fundamental, quantitative techniques and primarily the news-based sentiment score as an additional overlay.

I have tabulated the random signals from several InfoTrie’s Trading/Investment models.

BuySell Signals-Sep-07

The news sentiment score provides a significant improvement, significant “Alpha” compared to the traditional investment/trading models.

 For more details on the analysis, accessing complete tear sheets or white paper for the models, subscription details for News Sentiment data and other consulting works, please contact us with the information provided below.

contact@infotrie.com

Front Page

InfoTrie Financial Solutions Pte Ltd, Singapore

Sureshkumar Ramani +65 93376035

Frederic GEORJON +33 (0)6 1304 0600


0 Comments

Leave a Reply

Your email address will not be published. Required fields are marked *