An Emerging Opportunity

Featuring Peter Boockvar

Peter Boockvar, chief investment officer at Bleakley Advisory Group and editor of The Boock Report, has a contrarian view on emerging-market debt. In this interview with Justine Underhill, Peter reveals why he believes the sector is oversold and how to take advantage of the opportunity. Filmed on September 11, 2018.

Published on
12 September, 2018
Topic
Debt, Emerging markets, Trading
Duration
13 minutes
Asset class
Equities
Rating
14

Comments

  • DR

    David R.

    13 9 2018 19:23

    5       1

    Looks like both this EM bond surge and weak dollar tumble might be for real.

    Selective EM bonds in local currencies are crushing US stocks in dollars.

    US stocks up today, but dollar is down more than US stocks are up. So US stocks suck in foreign eyes, and thus the capital flight from US to Europe & Asia could accelerate.

    Watch out for DXY closing below the H&S neckline and critical support from 94.43 - 94.50. Failure to hold will be a near-term curse for the beleaguered WEAK dollar, which collapsed in latter August and has fallen again the last 6 of 7 days in Sept. This could setup the *possibility* of a major USD crash, especially considering the extremely long USD positioning by specs which, if exited, could crush the dollar. You've been warned, for 4 weeks! Watch your levels and good luck.

  • PB

    Peter B.

    13 9 2018 18:37

    0       0

    Stay short BNDX

  • MB

    MATTHEW B.

    13 9 2018 05:42

    0       0

    Given your new trade idea do you still recommend shorting BNDX or would you recommend to cover the short?

  • DR

    David R.

    12 9 2018 19:01

    1       1

    Contrary is good. Consensus usually ends up bad. Right on track with this suggestion. Indeed, yesterday Jeffrey Gundlach of DoubleLine wrote, "The dollar is going down, oil is headed for $80 to $90 a barrel, and it is now a good time for emerging-market bonds." And on cue the dollar is tumbling again today, and some EM bonds and currencies are rocketing. But one must be quite selective of EM. One of the Seattle-based firms (for UHNV investors only) has been all over this and earned 55% for its clients in 4 week as of today. The moms & pops are back buying overpriced US markets, while some smart money recently got out of US and is already killing it overseas again, at least for now. Too soon to tell if the worm has totally turned, but some exposure for anyone aggressive makes for a compelling trade. Bravo!

  • MT

    Mark T.

    12 9 2018 18:53

    0       1

    The soundtrack at the end of the video is horrible.

  • RM

    R M.

    12 9 2018 18:42

    2       0

    Nice to see contratrian calls on RealVision.

  • bs

    bernard s.

    12 9 2018 16:35

    0       0

    Silly question but when you buy EMLC, do you get the yield delivered to your brokerage account in the form of cash? Thank you

  • ns

    niall s.

    12 9 2018 16:26

    4       0

    The risk reward looks very attractive plus I am sure that Peter does his homework and having done very well from his HCP recommendation with a similar chart pattern , I see no reason not to scale into EMLC in a gradual way , IMO Peter is the star of trade ideas .

  • SH

    Steve H.

    12 9 2018 15:54

    3       0

    Maybe it's bottoming, maybe it isn't; all we can say at the moment is that it's still in a downtrend. From a technical perspective, I'd need to see chart evidence of stabilisation and potential reversal before committing.

  • AM

    Andrew M.

    12 9 2018 13:26

    7       1

    Time to buy would be when the Fed reverses course. We are a long way from there. But even then I think other assets (gold and gold miners) could do even better.

  • sm

    stephane m.

    12 9 2018 10:40

    7       3

    Trying to catch a falling knife anyone?!??!?
    No way it's going back to 19$ in 12 month...