Week in Review 10/13 – Breakout or Fakeout

A few weeks ago, I thought that we were on the verge of a breakout in commodity stocks and it turned out to be a fakeout.   Here are last week’s gains from some of our favorites 2.8%, 3.2%, 4.2%, 5.5%.  This too has the smell of a breakout.  Personally, I am well positioned if it is real.  Hopefully, you are as well.

In the broader market, the DOW continued its winning ways.  What was interesting about last week’s gains – was that tech started to participate.  True moves are very difficult with defensive stocks like Consumer Staples and Health Care leading the way.  Historically, the semiconductors lead the charge and that it did with the SOX up 4.4% for the week.  The ducks are lining up very nicely for the mid-term elections.  The incumbents want happy voters in the booths.

Below are this week’s results of our regularly discussed stocks:

  WEEK YTD
DOW 0.9% 11.6%
S&P 500 1.2% 9.4%
NASDAQ 2.5% 6.9%
SOX 4.4% -1.7%
GLD 2.8% 13.6%
GDX 4.1%  
CEF 3.2% 22.6%
USO -1.3%  
PHO 3.1% 16.4%
BRIC 4.2% 25.8%
BBO 5.5% 32.1%

SOX – Semiconductor Index
GLD – Gold Bullion Exchange Traded Fund (ETF)
GDX – Gold Mining Stocks ETF
CEF – Gold and Silver Bullion ETF
USO – Oil ETF
PHO – Water Resources ETF
BRIC – basket of 4 country ETFs: Brazil, Russia, India and China
BBO (Big-Build Out) – basket of 12 stocks critical to the industrialization of BRIC

Refer to the following links for more information on above stocks.

GDX, CEF: Link
USO: Link
BRIC, BBO: Link
PHO: Link

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