Geopolitics Matters

(1) Panic Attack #62 isn’t over just yet. (2) October has been a spooky month for stocks around the world, even in the US. (3) More geopolitical worries than usual unnerve investors. (4) Quadruple whammy for emerging markets: interest rates, the dollar, oil prices, and trade war. (5) Halloween and the mid-term elections will come and go. (6) Stocks are cheap in the US if economy continues to grow. (7) IMF report about global financial stability finds that current emerging markets crisis is relatively contained. (8) Our net capital flows proxy remains bullish for the dollar. (9) IMF sees relatively stable banking systems around the world. (10) Fed Chairman Powell says he isn’t worrying about emerging market economies.