Creaking Centenarian: Relevant Again?
Dear Rundown Reader,
Here’s some of the feedback we received about GE — buy, sell or hold?
“Follow the smart money!”
We’re assuming that’s a buy.
Another reader suggests she’s holding onto her shares:
“First as a consumer…excellent products.
“As an investor…GE is worth much more than the present share price which I am confident will go up.”
The following reader believes new leadership’s not enough:
“So diversified that a great CEO will have to choose great department heads to replace the non-performing ones.”
Along those same lines…
“Rusted and too BIG.
“It seems inconceivable…managing a company like GE. Eventually you will hit a wall and things will start to unravel….
“Don’t you think they just got so big and complacent?”
That’s one explanation.
I believe Culp — with his stellar track record — can streamline GE and make the creaking centenarian relevant again.
We appreciate your feedback.
Your Rundown for Wednesday, October 3, 2018…
Best in Class: Assets Ranked YTD
Commodities won the day in September — the first time that’s happened since May. The Bloomberg Commodity Index (BCOM) jumped 1.9%, easily beating out all other asset classes.
We find this compelling in light of trade-war drama. If you wondered how the BCOM’s weighted, here’s the breakdown:
Back to the rest of the winners and losers…
Foreign stocks in developed markets (MSCI EAFE Index) were the runner up with a gain of 0.9%.
The biggest losers? U.S. real estate investment trusts (REITs: MSCI REIT Index) spilled 2.6%, marking the first monthly setback since February.
Looking at the chart, the real standouts are the S&P 500 and crude oil. Both have posted phenomenal, double-digit gains over the last three years. You’ll notice oil has a slight edge.
How do you diversify your portfolio? And is oil a part of it?
Market Rundown for Wed. October 3, 2018
S&P 500 futures are up about 11 points to 2,934.
Oil is selling for $74.92, off yesterday’s price by 31 cents.
Gold’s added $1.20 to $1,208.20.
Bitcoin’s lost $46.72 and sits at $6,478.70.
Have a great day. We’ll catch up tomorrow.
For the Rundown,