From Chief Investment Officer Tom Veale,
Last week provided a relief for those who watch the markets closely.


Schwab reports somewhat larger investor cash levels but not any where near what was seen in other market pull backs. With slightly improved money market rates some investors have chosen to sideline cash rather than remain ‘long’ in the markets. Looking at the New Issues markets we see a return to normal levels of IPOs and mergers for no net gain in total issues traded right now. After the ‘silly season’ of the previous two years this is a relief.
Moving along with the markets we continue to watch for opportunities to expand our share inventories in the weaker market sectors as deeper discounts appear.
Best regards,
Tom Veale
Our Market Risk Indicator remains at 25 this week with an Oscillator value of zero. For now it appears risk is steadying near its Median value. One component is bullish, one bearish (Relative Valuation) and the other two are neutral this week.