UBS Group Ag

Dow Jones

The Dow Jones Industrial Average Is Flat Today, Thanks to Brexit

The Dow Jones Industrial Average is flat today as Brexit and the trade war create uncertainty in the global economy.

The Dow projected its first downturn in five days as investors continue to cheer speculation that the United States and China will work on a trade deal in October.

Things also continue to devolve in Britain after Prime Minister Boris Johnson failed to gain support in the Parliament for a snap election.


Trading Strategies

The Easy Money Move That Puts You Ahead of the "Smart Money"

The U.S. stock market is near all-time highs, of course, but there's a more troubling flip side to that: U.S. stocks are at nonsensical, nosebleed valuations.

Folks, when a money-losing outfit like Uber can go out – in broad daylight, in front of everyone – and value itself at $84.2 billion with a totally straight face and no hint of sarcasm or irony…

Well… that tells you something's not right. Something's been broken.

It deserves it for sure, but I'm not just singling Uber out here; it's merely emblematic of this mass insanity. There are hundreds upon hundreds of companies, many of them market leaders, trading at multiples quite divorced from reality. Nothing about the fundamentals justifies the prices being asked.

And like the saying goes, you can't fool all the people all of the time.

As I'm going to show you in a second, savvy investors – the so-called "smart money" – are increasing their cash positions. That's a wise move, because cash won't lose its value the way stocks do, and you can use it for "dry powder" to scoop up bargains when markets slide by double digits.

There's just one problem: The smart money is building up cash, but nowhere near fast enough. Nor are they setting aside enough.

Let me show you what my two-plus decades of experience says is the perfect cash allocation for a market like this...

Dow Jones

Dow Jones Industrial Average Jumps Over 200 Points After Strong Earnings Reports from General Motors, Facebook

The Dow Jones Industrial Average continued to ward off October's losses this morning as strong earnings results from General Motors (NYSE: GM) and Facebook (Nasdaq: FB) buoyed markets.

The Dow projected a 229-point gain on Wednesday, a morning after it surged more than 400 points.

Despite the gains, the S&P 500 is still down 7.9% in October, while the Dow is off 6%.