The Institute for Supply Management, a purchasing managers group, said Friday its manufacturing index registered 55.3 last month, up 1.8 points from May. A number above 50 indicates expansion. Economists were expecting weakness in U.S. manufacturing. According to a survey by Briefing.com, the index was expected to register 51.1, down from 53.5 the prior month.
We’re at the halfway point for the year so it may be worthwhile to see how the NTSM system is working so far. As of today, the NTSM system is up 6% while the S&P 500 is up 6.5%, so we have slightly underperformed the S&P 500.
Risk adjusted you’d have to say that’s pretty good considering that the NTSM system has only been in the market for 72 of the 180 trading days (approximately) this year. The other 108 days we have been in cash.
The Navigate the Stock Market Analysis is currently HOLD but indicators are improving and we should see a Buy soon.
Even so, we re-entered the market on 20 June based on volume analysis. (Too bad we had internet problems that delayed the re-entry by a day or the NTSM system would be even now.)
I am currently 50% invested in stocks overall. That’s a conservative stock allocation simply reflecting the high degree of unresolved issues in the market place and my status as an old guy.
