Last week, I wrote a bit more on my prediction of margin compression in the US and how Apple fits in the weekly newsletter. At the time, I said:
Timing may not be perfect but I would say we need to look for a narrowing of market leadership and this is one reason I mention Apple.
I went on to say that we seemed to have narrowing market leadership as negative earnings surprises have mounted. I believe the cyclical bull is tired and recommended rotating out of high beta, high risk and cyclical sectors into a more defensive investing posture. The point basically was that we are still in a secular bear market and that during the cyclical bull phase it requires a lot more than a buy and hold strategy. The best way to achieve gains without getting creamed is to rotate sectors and inve...
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Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty five years of business experience. He has also been a regular economic and financial commentator in print and on television for the past decade. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College.