What can we learn from the DJUSAG?

2018年10月29日

Dow Jones US Asset Managers Index tracks the stock prices of many large money management firms used by the upper class and large pools of money (retirement funds, universities, etc.). Since the beginning of 2018, this index has suffered more than the S&P 500. This seems to indicate that very wealthy individuals and organizations have been pulling their funds out of the market.

This exit may have peaked between July and September as per the linked article:

"BlackRock Inc.'s cash machine is slowing, presenting new challenges for the world's largest asset manager. Clients withdrew a net total of $3.1 billion during the three months ended September 30, the first quarterly outflow from BlackRock since the second quarter of 2015. That included a net withdrawal of $17.3 billion from funds exposed to stocks."[/I]

Source: BlackRock Sees Outflow For Quarter -- WSJ

I intend to use DJUSAG as a signal during the coming months. DJUSAG resuming an up trend may be one indication of the US market returning to a healthy state.

2018年10月29日

注释

Note: The PRO Momentum indicator on the bottom of the graphs slipped in by accident. It is a very good indicator and is a paid, invite-only indicator by PRO_Indicators (tradingview.com/u/PRO_Indicators/)

2019年1月4日

注释

This is anecdotal but still an insight. CNBC (financial news entertainment) recently interviewed Ravin Gandhi, a businessman with activity in China. This interview offers a potential clue as to what the billionaires and businessmen with ties to China knew before everyone else.

Ravin claims that the Chinese slowdown began to impact his business in early 2018.

Video: We're seeing 'unintended consequences' of US-China trade war, says GMM Nonstick Coatings CEO
youtube.com/watch?v=3n9oKSpSvss&index=8&list=WL

2019年1月4日

注释

Also, it is interesting that all of the talking heads are saying that this was a known issue... then why weren't they sounding the alarm if they knew it was going to be very impactful?