oil pipeline

Getting it Right on Oil

Earlier this year, we perceived significant risk inside the oil market: Large speculators had made extreme bullish bets in the futures market, and there was reduced demand from emerging markets. In response, we took half of our energy stock exposure and invested it in Master Limited Partnerships (MLPs). MLPs are natural resource activity companies, mostly…

Will Europe’s Recovery Continue?

Renewed signs of economic weakness in Europe have spooked investors and led to a significant correction in European stocks. In particular, there has been a spate of disappointing economic releases from Germany with industrial production, exports, and business confidence all coming in below expectations. This is concerning because Germany has been the backbone of the…

Please Stand By

Why is the Market Going Haywire?

With markets moving and volatility picking up, the investment team has had some lively discussions recently. When turbulence breaks out there is often a tangled web of items to sort through in determining what is the major driver. Our summary view is that we’ve had a collision between complacent markets that have lost momentum as…

High-Frequency Trading

What Is High-Frequency Trading?

When it comes to matching buyers and sellers of blue chip stocks on the New York Stock Exchange, the era of the floor trader has passed. You’ll still see traders bustling around in the background whenever you turn on CNBC, but it’s just a sideshow. These days, electronic trading is king. This has helped democratize…

Weighing the Market Evidence

Recently, market volatility has picked up amidst a lot of headline noise. Here at Pinnacle, we don’t get distracted by every noisy data point — we’re trying to keep your portfolio aligned with the market cycle. But this does offer a good opportunity to update you on our market views, and how we’re allocating your…