[ Money / Invest ] - ID: 37395 "How commodity markets fit business cycle patterns [and asset class allocation]: Using models linking markets to the economy for day-to-day trading may be like using a map of North America to travel across Rhode Island. But, in some cases, good working knowledge of how investments in various markets fare over the business cycle - the periodic movement from economic boom to bust - might be the only guide available to position yourself in a given market. Many analysts have formulated generalizations about the business cycle's effect on the markets, but few have been as specific as Martin Pring, the chairman of Pring-Turner Capital Group in Connecticut. While it would be an oversimplification to tag defined market patterns to each phase of the business cycle, Pring contends that, if such patterns do appear regularly, this knowledge would be crucial. To illustrate, say an asset manager has reliable long-term projections for bonds, stocks, precious metals and money market instruments and his portfolio is heavily weighted with long-term treasuries. He receives strong bullish signals for every other asset class, most recently precious metals. Knowing that bonds historically peak at a certain time interval after metals turn up might make him cautious on those treasuries. Rather than fitting his markets to an economic forecast, Pring lets the markets tell him about economics. (The last year or two has shown the extent to which economists and the markets often differ.) 'I believe the business cycle repeats every 4-5 years Author's Info on Wikipedia Author on ebay Author on Amazon More Quotes by this Author Start Searching Amazon for Gifts [ Money / Invest ] - ID: 37395 "How commodity markets fit business cycle patterns [and asset class allocation]: Using models linking markets to the economy for day-to-day trading may be like using a map of North America to travel across Rhode Island. But, in some cases, good working knowledge of how investments in various markets fare over the business cycle - the periodic movement from economic boom to bust - might be the only guide available to position yourself in a given market. Many analysts have formulated generalizations about the business cycle's effect on the markets, but few have been as specific as Martin Pring, the chairman of Pring-Turner Capital Group in Connecticut. While it would be an oversimplification to tag defined market patterns to each phase of the business cycle, Pring contends that, if such patterns do appear regularly, this knowledge would be crucial. To illustrate, say an asset manager has reliable long-term projections for bonds, stocks, precious metals and money market instruments and his portfolio is heavily weighted with long-term treasuries. He receives strong bullish signals for every other asset class, most recently precious metals. Knowing that bonds historically peak at a certain time interval after metals turn up might make him cautious on those treasuries. Rather than fitting his markets to an economic forecast, Pring lets the markets tell him about economics. (The last year or two has shown the extent to which economists and the markets often differ.) 'I believe the business cycle repeats every 4-5 years&theme=ont class=sampleQuote>[ Money / Invest ] - ID: 37395 "How commodity markets fit business cycle patterns [and asset class allocation]: Using models linking markets to the economy for day-to-day trading may be like using a map of North America to travel across Rhode Island. But, in some cases, good working knowledge of how investments in various markets fare over the business cycle - the periodic movement from economic boom to bust - might be the only guide available to position yourself in a given market. Many analysts have formulated generalizations about the business cycle's effect on the markets, but few have been as specific as Martin Pring, the chairman of Pring-Turner Capital Group in Connecticut. While it would be an oversimplification to tag defined market patterns to each phase of the business cycle, Pring contends that, if such patterns do appear regularly, this knowledge would be crucial. To illustrate, say an asset manager has reliable long-term projections for bonds, stocks, precious metals and money market instruments and his portfolio is heavily weighted with long-term treasuries. He receives strong bullish signals for every other asset class, most recently precious metals. Knowing that bonds historically peak at a certain time interval after metals turn up might make him cautious on those treasuries. Rather than fitting his markets to an economic forecast, Pring lets the markets tell him about economics. (The last year or two has shown the extent to which economists and the markets often differ.) 'I believe the business cycle repeats every 4-5 years" TARGET="_top">Send as Free eCard