{"id":2005351,"date":"2014-09-27T10:29:54","date_gmt":"2014-09-27T04:59:54","guid":{"rendered":"http:\/\/stockviz.biz\/index.php\/?p=2005351"},"modified":"2014-09-27T10:29:54","modified_gmt":"2014-09-27T04:59:54","slug":"weekly-recap-wieners-laws","status":"publish","type":"post","link":"https:\/\/stockviz.biz\/index.php\/2014\/09\/27\/weekly-recap-wieners-laws\/","title":{"rendered":"Weekly Recap: Wiener\u2019s Laws"},"content":{"rendered":"

\"world.2014-09-19.2014-09-26\"<\/a><\/p>\n

Equities<\/h3>\n
\n
\n\n\n\n\n\n\n\n\n\n
Major<\/th>\n<\/tr>\n<\/thead>\n
DAX(DEU)<\/a><\/td>\n-3.15%<\/span><\/td>\n<\/tr>\n
CAC(FRA)<\/a><\/td>\n-1.49%<\/span><\/td>\n<\/tr>\n
UKX(GBR)<\/a><\/td>\n-2.76%<\/span><\/td>\n<\/tr>\n
NKY(JPN)<\/a><\/td>\n-0.56%<\/span><\/td>\n<\/tr>\n
SPX(USA)<\/a><\/td>\n-1.37%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
\n\n\n\n\n\n\n\n\n
MINTs<\/th>\n<\/tr>\n<\/thead>\n
JCI(IDN)<\/a><\/td>\n-1.82%<\/span><\/td>\n<\/tr>\n
INMEX(MEX)<\/a><\/td>\n-1.86%<\/span><\/td>\n<\/tr>\n
NGSEINDX(NGA)<\/a><\/td>\n-0.56%<\/span><\/td>\n<\/tr>\n
XU030(TUR)<\/a><\/td>\n-3.28%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
\n\n\n\n\n\n\n\n\n\n
BRICS<\/th>\n<\/tr>\n<\/thead>\n
IBOV(BRA)<\/a><\/td>\n-1.55%<\/span><\/td>\n<\/tr>\n
SHCOMP(CHN)<\/a><\/td>\n+0.78%<\/span><\/td>\n<\/tr>\n
NIFTY(IND)<\/a><\/td>\n-1.88%<\/span><\/td>\n<\/tr>\n
INDEXCF(RUS)<\/a><\/td>\n+0.18%<\/span><\/td>\n<\/tr>\n
TOP40(ZAF)<\/a><\/td>\n-3.59%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<\/div>\n
\n
\n
\n

Commodities<\/h3>\n
\n
\n\n\n\n\n\n\n\n\n\n\n
Energy<\/th>\n<\/tr>\n<\/thead>\n
Brent Crude Oil<\/td>\n-0.96%<\/span><\/td>\n<\/tr>\n
Ethanol<\/td>\n-5.53%<\/span><\/td>\n<\/tr>\n
Heating Oil<\/td>\n-0.32%<\/span><\/td>\n<\/tr>\n
Natural Gas<\/td>\n+4.81%<\/span><\/td>\n<\/tr>\n
RBOB Gasoline<\/td>\n+2.21%<\/span><\/td>\n<\/tr>\n
WTI Crude Oil<\/td>\n+1.35%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
\n\n\n\n\n\n\n\n\n\n
Metals<\/th>\n<\/tr>\n<\/thead>\n
Copper<\/td>\n-1.62%<\/span><\/td>\n<\/tr>\n
Gold 100oz<\/td>\n+0.03%<\/span><\/td>\n<\/tr>\n
Palladium<\/td>\n-3.99%<\/span><\/td>\n<\/tr>\n
Platinum<\/td>\n-2.64%<\/span><\/td>\n<\/tr>\n
Silver 5000oz<\/td>\n-2.23%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<\/div>\n<\/div>\n
\n

Currencies<\/h3>\n

USDEUR<\/a>:+1.21% <\/span> USDJPY<\/a>:+0.30% <\/span><\/p>\n

\n
\n\n\n\n\n\n\n\n\n
MINTs<\/th>\n<\/tr>\n<\/thead>\n
USDIDR(IDN)<\/a><\/td>\n+0.65%<\/span><\/td>\n<\/tr>\n
USDMXN(MEX)<\/a><\/td>\n+1.59%<\/span><\/td>\n<\/tr>\n
USDNGN(NGA)<\/a><\/td>\n+0.35%<\/span><\/td>\n<\/tr>\n
USDTRY(TUR)<\/a><\/td>\n+1.23%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
\n\n\n\n\n\n\n\n\n\n
BRICS<\/th>\n<\/tr>\n<\/thead>\n
USDBRL(BRA)<\/a><\/td>\n+1.60%<\/span><\/td>\n<\/tr>\n
USDCNY(CHN)<\/a><\/td>\n-0.23%<\/span><\/td>\n<\/tr>\n
USDINR(IND)<\/a><\/td>\n+0.54%<\/span><\/td>\n<\/tr>\n
USDRUB(RUS)<\/a><\/td>\n+1.93%<\/span><\/td>\n<\/tr>\n
USDZAR(ZAF)<\/a><\/td>\n+1.31%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Agricultural<\/th>\n<\/tr>\n<\/thead>\n
Cattle<\/td>\n+1.71%<\/span><\/td>\n<\/tr>\n
Cocoa<\/td>\n+0.85%<\/span><\/td>\n<\/tr>\n
Coffee (Arabica)<\/td>\n+3.76%<\/span><\/td>\n<\/tr>\n
Coffee (Robusta)<\/td>\n+1.24%<\/span><\/td>\n<\/tr>\n
Corn<\/td>\n-2.56%<\/span><\/td>\n<\/tr>\n
Cotton<\/td>\n-3.36%<\/span><\/td>\n<\/tr>\n
Feeder Cattle<\/td>\n+1.22%<\/span><\/td>\n<\/tr>\n
Lean Hogs<\/td>\n+0.71%<\/span><\/td>\n<\/tr>\n
Lumber<\/td>\n-0.40%<\/span><\/td>\n<\/tr>\n
Orange Juice<\/td>\n+0.70%<\/span><\/td>\n<\/tr>\n
Soybean Meal<\/td>\n-5.19%<\/span><\/td>\n<\/tr>\n
Soybeans<\/td>\n-4.96%<\/span><\/td>\n<\/tr>\n
Sugar #11<\/td>\n+14.81%<\/span><\/td>\n<\/tr>\n
Wheat<\/td>\n+0.11%<\/span><\/td>\n<\/tr>\n
White Sugar<\/td>\n+4.54%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<\/div>\n

Credit Indices<\/h3>\n
\n
\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Index<\/th>\nChange<\/th>\n<\/tr>\n<\/thead>\n
Markit CDX EM<\/td>\n+0.47%<\/span><\/td>\n<\/tr>\n
Markit CDX NA HY<\/td>\n-0.62%<\/span><\/td>\n<\/tr>\n
Markit CDX NA IG<\/td>\n+2.16%<\/span><\/td>\n<\/tr>\n
Markit CDX NA IG HVOL<\/td>\n+4.37%<\/span><\/td>\n<\/tr>\n
Markit iTraxx Asia ex-Japan IG<\/td>\n+2.42%<\/span><\/td>\n<\/tr>\n
Markit iTraxx Australia<\/td>\n+3.32%<\/span><\/td>\n<\/tr>\n
Markit iTraxx Europe<\/td>\n+1.58%<\/span><\/td>\n<\/tr>\n
Markit iTraxx Europe Crossover<\/td>\n+10.58%<\/span><\/td>\n<\/tr>\n
Markit iTraxx Japan<\/td>\n+2.76%<\/span><\/td>\n<\/tr>\n
Markit iTraxx SovX Western Europe<\/td>\n-1.81%<\/span><\/td>\n<\/tr>\n
Markit LCDX (Loan CDS)<\/td>\n-0.04%<\/span><\/td>\n<\/tr>\n
Markit MCDX (Municipal CDS)<\/td>\n+1.93%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
\nThe dollar rally continued and most equity markets ended the week in the red. It took S&P’s pat on the head for the Indian markets to post a decent number on the board. Things could have been much worse if not for that. This may not be “taper tantrum” but as the US embarks on tighter monetary policy, capital has a tendency to flee frontier\/emerging markets.\n<\/div>\n<\/div>\n

Nifty Heatmap<\/h3>\n

\"CNX<\/a><\/p>\n

Index Returns<\/h3>\n

\"index<\/a><\/p>\n

Sector Performance<\/h3>\n

\"sector<\/a><\/p>\n

Advance Decline<\/h3>\n

\"advance.decline.line2.2014-09-19.2014-09-26\"<\/a><\/p>\n

Market Cap Decile Performance<\/h3>\n
\n
\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Decile<\/th>\nMkt. Cap.<\/th>\nAdv\/Decl<\/th>\n<\/tr>\n<\/thead>\n
1 (micro)<\/td>\n-10.46%<\/span><\/td>\n62\/80<\/td>\n<\/tr>\n
2<\/td>\n-6.95%<\/span><\/td>\n63\/79<\/td>\n<\/tr>\n
3<\/td>\n-7.08%<\/span><\/td>\n57\/85<\/td>\n<\/tr>\n
4<\/td>\n-6.95%<\/span><\/td>\n54\/88<\/td>\n<\/tr>\n
5<\/td>\n-6.63%<\/span><\/td>\n49\/93<\/td>\n<\/tr>\n
6<\/td>\n-5.12%<\/span><\/td>\n62\/80<\/td>\n<\/tr>\n
7<\/td>\n-6.80%<\/span><\/td>\n54\/88<\/td>\n<\/tr>\n
8<\/td>\n-6.25%<\/span><\/td>\n63\/79<\/td>\n<\/tr>\n
9<\/td>\n-5.39%<\/span><\/td>\n65\/77<\/td>\n<\/tr>\n
10 (mega)<\/td>\n-2.06%<\/span><\/td>\n69\/73<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
Midcaps and Smallcaps bled out. The Nifty maybe down 1.88%<\/strong><\/span> but just look at the rest of the market…<\/div>\n<\/div>\n

Top Winners and Losers<\/h3>\n
\n
\n\n\n\n\n\n\n\n
ITC<\/a><\/td>\n+3.42%<\/span><\/td>\n<\/tr>\n
GSKCONS<\/a><\/td>\n+5.25%<\/span><\/td>\n<\/tr>\n
GLAXO<\/a><\/td>\n+8.18%<\/span><\/td>\n<\/tr>\n
OFSS<\/a><\/td>\n-15.09%<\/span><\/td>\n<\/tr>\n
BANKINDIA<\/a><\/td>\n-14.23%<\/span><\/td>\n<\/tr>\n
JINDALSTEL<\/a><\/td>\n-12.65%<\/span><\/td>\n<\/tr>\n<\/table>\n<\/div>\n
\nFlight to safety? OFSS doesn’t count because it paid out a dividend of Rs 485\/- per share… JSPL got dinged because of the coal verdict…\n<\/div>\n<\/div>\n

ETFs<\/h3>\n
\n
\n\n\n\n\n\n\n\n\n
GOLDBEES<\/a><\/td>\n-0.13%<\/span><\/td>\n<\/tr>\n
CPSEETF<\/a><\/td>\n-0.40%<\/span><\/td>\n<\/tr>\n
NIFTYBEES<\/a><\/td>\n-1.50%<\/span><\/td>\n<\/tr>\n
BANKBEES<\/a><\/td>\n-2.53%<\/span><\/td>\n<\/tr>\n
JUNIORBEES<\/a><\/td>\n-3.50%<\/span><\/td>\n<\/tr>\n
PSUBNKBEES<\/a><\/td>\n-6.04%<\/span><\/td>\n<\/tr>\n
INFRABEES<\/a><\/td>\n-6.21%<\/span><\/td>\n<\/tr>\n<\/table>\n<\/div>\n
\nWTF?! All ETFs in the red?\n<\/div>\n<\/div>\n

Yield Curve<\/h3>\n

\"yield<\/a><\/p>\n

Bond Indices<\/h3>\n
\n
\n\n\n\n\n\n\n\n\n
Sub Index<\/th>\nChange in YTM<\/th>\nTotal Return(%)<\/th>\n<\/tr>\n<\/thead>\n
GSEC TB<\/td>\n+0.01<\/span><\/td>\n+0.15%<\/span><\/td>\n<\/tr>\n
GSEC SUB 1-3<\/td>\n+0.02<\/span><\/td>\n+0.29%<\/span><\/td>\n<\/tr>\n
GSEC SUB 3-8<\/td>\n-0.19<\/span><\/td>\n+0.66%<\/span><\/td>\n<\/tr>\n
GSEC SUB 8<\/td>\n-0.35<\/span><\/td>\n+2.52%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
\nLong end of the curve is probably over-bought at this point… But then again, falling inflation and an expectation of rate-cuts will do that.\n<\/div>\n<\/div>\n

Nifty OI<\/h3>\n

\"nifty.puts.calls.OCT.2014-09-19.2014-09-26\"<\/a><\/p>\n

Bank Nifty OI<\/h3>\n

\"bank-nifty.puts.calls.OCT.2014-09-19.2014-09-26\"<\/a><\/p>\n

Theme Performance<\/h3>\n
\n
\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Growth with Moat<\/a><\/td>\n+0.21%<\/span><\/td>\n<\/tr>\n
Efficient Growth<\/a><\/td>\n-0.10%<\/span><\/td>\n<\/tr>\n
Market Elephants<\/a><\/td>\n-1.46%<\/span><\/td>\n<\/tr>\n
Piotroski ROC Small Caps<\/a><\/td>\n-2.43%<\/span><\/td>\n<\/tr>\n
CNX 100 50-Day Tactical<\/a><\/td>\n-2.51%<\/span><\/td>\n<\/tr>\n
Balance-sheet Strength<\/a><\/td>\n-2.66%<\/span><\/td>\n<\/tr>\n
IT 3rd Benchers<\/a><\/td>\n-2.68%<\/span><\/td>\n<\/tr>\n
Momentum 200<\/a><\/td>\n-2.94%<\/span><\/td>\n<\/tr>\n
Magic Formula Investing<\/a><\/td>\n-3.12%<\/span><\/td>\n<\/tr>\n
Refract: PPFAS Long Term Value Fund<\/a><\/td>\n-3.32%<\/span><\/td>\n<\/tr>\n
Enterprise Yield<\/a><\/td>\n-3.37%<\/span><\/td>\n<\/tr>\n
Auto <\/a><\/td>\n-3.40%<\/span><\/td>\n<\/tr>\n
Financial Strength Value<\/a><\/td>\n-4.78%<\/span><\/td>\n<\/tr>\n
Old Economy Value<\/a><\/td>\n-4.81%<\/span><\/td>\n<\/tr>\n
The Other Value<\/a><\/td>\n-5.14%<\/span><\/td>\n<\/tr>\n
Quality to Price<\/a><\/td>\n-5.18%<\/span><\/td>\n<\/tr>\n
Industrial Value<\/a><\/td>\n-5.33%<\/span><\/td>\n<\/tr>\n
ADAG Mania<\/a><\/td>\n-7.19%<\/span><\/td>\n<\/tr>\n
Market Fliers<\/a><\/td>\n-7.43%<\/span><\/td>\n<\/tr>\n<\/table>\n<\/div>\n
\nMake it stop!\n<\/div>\n<\/div>\n

Thought for the weekend<\/h3>\n

To make planes safer these days, engineers have designed automated systems that basically allow the planes to fly themselves. An unintended consequence of increased safety for the plane is increased complexity for the pilots. Industry experts have warned of the side effects that can arise from this increased complexity for a number of years now. One of the cautionary voices was that of an engineer named Earl Wiener. Here’s “Wiener\u2019s Laws” adapted to the financial markets:<\/p>\n

Every device creates its own opportunity for human error.<\/strong>
\nAny financial model is only as good as the person or team using it.<\/p>\n

Exotic devices create exotic problems. <\/strong>
\nComplex strategies can create unforeseen complications.<\/p>\n

Digital devices tune out small errors while creating opportunities for large errors. <\/strong>
\nRisk comes in many forms and some models can lead to a false sense of security if you\u2019re not aware of the imbedded risks.<\/p>\n

Some problems have no solution.<\/strong>
\nYou have to choose which form of risk you want to deal with, risk now or risk in the future.<\/p>\n

It takes an airplane to bring out the worst in a pilot. <\/strong>
\nFinancial markets magnify bad behavior in even some of the most intelligent people.<\/p>\n

Whenever you solve a problem, you usually create one. You can only hope that the one you created is less critical than the one you eliminated. <\/strong>
\nThere\u2019s no such thing a perfect portfolio or process. Every strategy involves trade-offs.<\/p>\n

Sources:
\nWhen Exotic Devices Create Exotic Problems<\/a>
\nThe Human Factor<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Equities Major DAX(DEU) -3.15% CAC(FRA) -1.49% UKX(GBR) -2.76% NKY(JPN) -0.56% SPX(USA) -1.37% MINTs JCI(IDN) -1.82% INMEX(MEX) -1.86% NGSEINDX(NGA) -0.56% XU030(TUR) -3.28% BRICS IBOV(BRA) -1.55% SHCOMP(CHN) +0.78% NIFTY(IND) -1.88% INDEXCF(RUS) +0.18% TOP40(ZAF) -3.59% Commodities Energy Brent Crude Oil -0.96% Ethanol -5.53% Heating Oil -0.32% Natural Gas +4.81% RBOB Gasoline +2.21% WTI Crude Oil +1.35% Metals Copper … <\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[987],"class_list":["post-2005351","post","type-post","status-publish","format-standard","hentry","category-your-money","tag-weekly","entry"],"_links":{"self":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts\/2005351","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/comments?post=2005351"}],"version-history":[{"count":0,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts\/2005351\/revisions"}],"wp:attachment":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/media?parent=2005351"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/categories?post=2005351"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/tags?post=2005351"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}