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In the heat of the Jamaican sun, where the wetlands glisten and buzz with life, an ancient predator is vanishing.

There are around 28 species of crocodiles found throughout the world’s tropical and subtropical regions. But there is only one species in Jamaica, found primarily along the southern coast from St. Thomas to Westmoreland.

Once revered and feared across the island, the American crocodile (Crocodylus acutus) has long ruled the mangroves and coastal lagoons.

But in recent years, its population has been decimated, due to illegal hunting, habitat loss and plastic pollution, as well as killings prompted by a lingering fear among locals.

Lawrence Henriques has made it his life’s mission to change that.

Known as “The Crocodile Guardian,” Henriques has spent the past four decades fighting for their survival.

He runs the Holland Bay Crocodile Sanctuary, a grassroots conservation project in the southeast of the island, perched on the edge of what he says is one of Jamaica’s last viable crocodile habitats.

From this remote corner of the island, he’s trying to undo years of damage: nursing sick crocs back to health, raising juveniles and restoring their numbers in the wild.

“There’s a real fear of crocodiles in Jamaica,” says Henriques. “They’re not tolerated by a lot of people. So if one turns up in someone’s backyard, it’s often killed for meat or just because people are afraid.”

Although crocodiles are often seen as aggressive and dangerous, attacks are few and far between. While reliable figures are hard to come by, according to the global database CrocAttack, there have been 11 incidents reported over the past decade in Jamaica, including one fatality in 2018.

That’s why Henriques is working to change the narrative about the animal and help people understand that they are far less threatening than their reputation suggests.

Born and raised in the Jamaican capital, Kingston, during the 1960s, Henriques always had a penchant for “creepy crawlies,” such as spiders, scorpions and snakes.

But it was crocodiles that truly captured his attention.

“We had a lot more crocodiles and a lot more habitat in those days,” he recalls. “I always had a half a dozen or so baby crocodiles rearing in my bedroom.”

That fascination eventually became a vocation. After studying overseas and learning more about reptiles when working with the Scientific Exploration Society, a UK charity, in Belize, Henriques returned to Jamaica in 1980. He was startled to find that despite crocodiles being classified as endangered in 1971 under the Wildlife Protection Act, there was little practical conservation happening.

“The laws were there, but nobody was doing anything,” he says. “The environmental agency was very under-resourced and still is to this day. And there was nobody really with expertise or knowledge on reptiles.”

A sanctuary on the edge

Henriques volunteered to assist the Jamaican government, carrying out crocodile rescues and providing rehabilitation, all while holding down a job in the citrus industry.

He continued like this for almost 20 years, before a brief relocation to London, UK. When he returned to Jamaica in 2010, he launched what would become the Holland Bay Crocodile Sanctuary — a facility dedicated to rescue, rehabilitation and public education.

The sanctuary, which lies on the edge of a wetland, is home to 27 adult crocodiles along with 18 baby crocs. The juvenile crocs have been bred on site and are typically released into the wild after three years, while the adults have been rescued and rehabilitated after being hit by cars, caught in traps, or found living in squalid conditions. Over the past three years, around 90 have been successfully released back into the wild according to Henriques.

One of the crocodiles living at the sanctuary currently is Xena, who was discovered guarding her eggs in an area littered with trash, her skin slimy and her teeth gray from pollution.

Savannah Boan, an international ambassador from Gatorland Global, the conservation arm of the Florida-based wildlife park which helps to fund the sanctuary, says that since being relocated, Xena’s skin has healed and her teeth are white again. Her babies have also been raised at the facility and released into safe areas, helping to boost wild populations of the species.

Black market

Despite legal protections, crocodiles in Jamaica face growing threats. Poaching is rampant, often driven by demand for meat or misguided fear, according to officers from the country’s National Environment and Planning Agency (NEPA).

“Poaching is definitely a huge problem,” says Leighton Mamdeen, an environmental officer at NEPA. “We try to limit it through enforcement measures such as regular monitoring and we partner with the Jamaica Constabulary Force and the Jamaica Defence Force to do patrols.”

According to media reports, there is a thriving black market for crocodile meat and eggs in Jamaica, with the meat sold for as much as 5,000 Jamaican dollars ($31) a pound (450 grams) – more than 10 times the price of chicken meat.

This could stem from a widespread misconception in some rural communities that crocodile meat has aphrodisiac properties.

Damany Calder, another environmental officer at NEPA, says he has noticed a troubling pattern during callouts, when crocodiles are discovered with their tails removed.

“There’s a rumour about the crocodile tail… it’s (used) either for sexual performance, fertility or longevity,” he says.

In other cases, crocodiles have been found in backyard ponds, kept as pets, or used as props for TikTok stunts or music videos. There was even a time when a small live crocodile was found stuffed in a broken fridge, says Calder. He believes it may have been part of a ritual referred to as Obeah, a Jamaican religious tradition similar to voodoo.

Social media videos have occasionally resulted in prosecutions but only if culprits are caught in the act, Calder says. Individuals found guilty of killing crocodiles may be charged a maximum fine of $100,000 or face one-year imprisonment.

“The police are heavily involved, and they’re trying to improve the penalties,” says Henriques.

“But like everything else, it’s catching the person and proving it in court. It’s a very long, drawn-out process.”

Habitat erased

Development is another killer.

Jamaica’s mangroves and wetlands are currently being cleared for tourism and residential development according to The Forestry Department. This affects the country’s coastal resilience, as mangroves reduce wave energy and storm surges, helping to prevent flooding, and it damages biodiversity, as they are serve as nurseries for fish and provide essential habitat for species like crocodiles.

As this territory shrinks, crocodiles are forced closer to humans.

“These animals are ending up in places they’ve always lived,” Henriques says. “But now those places are towns and roads … We’ve taken their habitat.”

To Henriques, the crocodile isn’t a menace — it’s a keystone species that has been on the island for millions of years. It even features on the Jamaican coat of arms, which shows a crocodile perched atop a royal helmet and mantling, designed to symbolize the island’s unique wildlife and natural heritage.

“They’re like engineers of the ecosystem,” he says. “They dig channels, control fish populations and keep the wetlands healthy.”

He explains that the presence of these apex predators helps to regulate biodiversity within aquatic ecosystems by controlling prey populations and creating microhabitats that support various flora and fauna.

But Henriques warns that because of poaching and habitat loss, the island no longer has many large male crocodiles left along the coastline: “Most now are smaller. It’s a serious shift.”

“What’s happening in Jamaica reflects a global pattern — wetland species are disappearing, and with them, the health of the entire ecosystem,” he adds.

Changing minds, one school at a time

Despite the challenges, there’s a cautious sense of hope.

Henriques and NEPA have ramped up community outreach and education programs, especially in areas near crocodile habitats.

“One of the most impactful things we’ve done is visit schools,” says Mamdeen. “If you start with the kids, you’ll have a greater chance of securing the animal’s future.”

When reports of a crocodile in a pool of water near a school caused panic among parents and children, NEPA directed its outreach efforts toward local students.

“We told them: crocodiles would rather run (from you) than rush (towards) you,” he says. “If you’re near water at night, walk with a stick. If the animal is touched, it moves.”

Henriques added: “People are beginning to understand these animals have a place … They’re not pests. They’re survivors.”

Still, the sanctuary is one of only a few conservation efforts on the island, and without continued support, Henriques fears Jamaica’s crocodiles may not survive the next few decades.

“We can’t afford to lose them,” he says. “They’ve been here longer than we have. They’re part of this land.”

This post appeared first on cnn.com

A rare, first-generation Labubu figure has sold for $150,000 in Beijing at an auction held exclusively for the toys that have taken the world by storm.

The 131-centimeter (51-inch) mint green figurine with a gremlin-like appearance, sharp teeth and puckish grin went for 1.08 million yuan ($150,325) at the Yongle International Auction house that normally specializes in selling jewelry and modern art.

“Congratulations to the online buyer on collecting the world’s only such one,” said the auctioneer at an exhibition center in downtown Beijing on Tuesday afternoon.

Labubus are currently the trendiest plush toys on the planet, created by Hong Kong-born illustrator Kasing Lung and retailed by the Chinese toy giant Pop Mart.

In recent months, the bunny-bodied, elf-faced creatures — equal parts grotesque and adorable — have soared in popularity, sparking buying frenzies around the world, and in some cases, brawls among fans outside shops selling them.

Even in China, where Pop Mart is based and most of its toys are made, people are struggling to get their hands on Labubus.

A total of 48 Labubus were auctioned at the special event, billed as the “World’s First” auction of first generation collectible Labubus.

A brown, 160-centimeter (63-inch) Labubu figure, sold for $114,086, the second highest hammer price at the event. The company said only 15 such figures exist around the world.

Other figures went for more than $1,000 each.

“As a trendy toy in China, Labubu is now becoming a global artwork as it has truly sparked a craze around the world,” Zhao Xu, the founder of Yongle Auction, told state-owned outlet The Beijing News.

Zhao said the company plans to hold monthly livestream auctions for Labubu and other trendy artworks.

A pair of Minions-like Labubus sold at auction for 10,000 yuan ($1,391).

Buyers at the auction also had to pay an additional 15% brokerage fee on top of the hammer prices.

And it’s not rare to see a price inflation of Labubus due to the crazy demand in China. For instance, a blind box from the latest Labubu 3.0 series, originally priced at around $81, has been selling for up to $278 on the second-hand market, state-owned outlet Cover News reported.

Labubu’s viral popularity has been a booster for Pop Mart. Annual results show that the Chinese company’s global gross profit surged by over 125% last year, while its revenue in mainland China reached more than $1.09 billion, 34% higher than 2023.

This post appeared first on cnn.com

The U.S. stock market has been painting a subtle picture recently. While the broader indexes, such as the S&P 500 ($SPX), Nasdaq Composite ($COMPQ), and Dow Jones Industrial Average ($INDU), are indeed grinding higher, the daily movements have been relatively subdued. This is a noticeable shift from the more dynamic action we observed in April.

Investors may be waiting for Wednesday’s May Consumer Price Index (CPI), the results of the U.S.-China trade talks, or the next market-moving news headline. What’s encouraging is the underlying strength in market breadth. We’re seeing a healthy number of one-month new highs across most broader indexes (with the exception of Dow Utilities), Bullish Percent Indexes signaling bullish tendencies, and investors gravitating toward offensive sectors vs. defensive ones.

On the surface, everything points to a continuation of the bullish trend. However, as astute investors, our primary objective is to protect our capital. This means we mus always consider the possibility of a downside correction and be prepared to adapt.

This is where the StockCharts Market Summary page becomes an indispensable tool for your market analysis.

Let’s dive into how the Market Summary page can help you gain a unique perspective on market dynamics.

Beyond the Headlines: Uncovering Global Trends

One of the powerful features of the Market Summary page is its ability to provide a global snapshot. If you navigate to the Global Snapshot tab in the Equities panel and sort the “+/- SMA(200)” column in descending order, you’ll notice something fascinating: the Eurozone occupies the top spot while the Total US sits at the bottom (see image below).

FIGURE 1. A GLOBAL SNAPSHOT. The Eurozone is trading well above its 200-day simple moving average (SMA) while the Total US is only 4.37% above its 200-day SMA.Image source: StockCharts.com. For educational purposes.

This insightful view suggests that global markets have been trending well above their 200-day simple moving average than the US market. This insight is worth a deeper dive.

Consider the daily charts of the iShares MSCI Eurozone ETF (EZU) and Vanguard Total Stock Market ETF (VTI) which serve as proxies for these regions.

Since April 8, EZU has been on a steep ascent, demonstrating upward momentum. This price action is similar to the S&P 500, but if you consider the relative performance of the SPDR S&P 500 (SPY) vs. EZU, SPY is underperforming EZU (see bottom panel in the chart below).

FIGURE 2. DAILY CHART OF EZU. The ETF is exhibiting a steep ascent and is outperforming SPY. Will the trend become less steep or continue its steep uptrend? Be sure to monitor the RSI.Chart source: StockCharts.com. For educational purposes.

The Relative Strength Index (RSI) is showing lackluster momentum. Generally, a steep trend loses its mojo after a while and reverts to a more normal trend.

Meanwhile, though VTI has also moved higher, its percentage rise was slightly less than EZU. Also, as EZU hit an all-time high, VTI is still trying to reach that milestone (see chart below).

FIGURE 3. DAILY CHART OF VTI. The ETF is also exhibiting a steep ascent but is trying hard to reach its all-time high.Chart source: StockCharts.com. For educational purposes.

The RSI is showing lackluster momentum, similar to that of EZU, which could mean the steep ascent may be losing its steam.

Identifying Global Opportunities

It will be interesting to see how the global financial market evolves from here. Who will be the first to revert to a more normal sloping trend? Will EZU continue its outperformance, or will VTI take the lead?

And let’s not forget the global ETFs positioned in the middle of the pack. Regions like Asia (ex Japan), Latin America, or Emerging Markets could take the lead. For example, the Vanguard FTSE Emerging Markets ETF (VWO) has exhibited a more classic uptrend. Over the past year, it has outperformed SPY by around 127% (see chart below). The RSI is also showing greater momentum than the other charts we analyzed.

FIGURE 4. DAILY CHART OF VWO. This ETF is exhibiting a more normal uptrend and, over the last year, has outperformed SPY by a whopping 127%. RSI is also rising, suggesting there could be momentum here.Chart source: StockCharts.com. For educational purposes.

Empowering Your Stock Market Analysis

To stay ahead of market trends and uncover hidden gems, investors and traders should regularly monitor the charts in the Market Summary ChartLists. If you haven’t already, download the StockCharts Market Summary ChartPack (it’s free for subscribers).

Scrolling through the pre-built ChartLists will help you to:

  • Stay on top of the market’s price action across sectors, industries, and global regions.
  • Identify market internals, such as breadth and sentiment.
  • Uncover some hidden gems that could translate into favorable investment opportunities.


Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.


Resolution Minerals Ltd (“RML” or the “Company”) (ASX: RML) is pleased to announce that it has entered into a binding agreement for the acquisition of a brownfields Antimony and Gold project located in Idaho of the United States of America.

HIGHLIGHTS

  • Resolution Minerals Ltd (ASX:RML) has entered into a binding agreement to acquire the Horse Heaven Antimony-Gold-Silver-Tungsten Project (“Horse Heaven” or “Project”), located in the historical Stibnite Mining District of Valley County, central Idaho.
  • Horse Heaven shares its eastern boundary with NASDAQ-listed Perpetua Resources’ Stibnite Gold- Antimony Project (PPTA.NAS ~A$2bn market cap).
  • Horse Heaven hosts two highly prospective Gold- Antimony-Tungsten prospects known as the Antimony Ridge Fault Zone (“ARFZ”) and the Golden Gate Fault Zone (“GGFZ”).
  • Drill-ready targets; drilling planned to start in 2025
  • The Antimony Ridge Fault Zone has an approximate strike length of 1.2 km and hosts known gold–antimony– silver-tungsten mineralisation associated with hydrothermally altered and sheared granodiorite.
  • The Golden Gate Fault Zone has an approximate strike length of 3.5km and hosts the Golden Gate Hill target. It hosts known disseminated gold mineralisation, like Antimony Ridge Fault Zone, associated with hydrothermally altered and sheared granodiorite.
  • Tungsten was produced from Golden Gate Hill between the 1950’s and 1980’s.
  • Results from past systematic sampling and preliminary drilling at both prospects are highly encouraging, indicating large tonnage mining potential.
  • Highlight past rock chip results at Horse Heaven (Antimony Ridge) (Appendix C) include:
    • Rock chip sample 329003 with 3.68g/t gold, 303g/t silver and 2.72% antimony over 4m.
    • Rock chip sample 329014 with 1.33g/t gold, 367g/t silver and 13.75% antimony over 1m.
    • Rock chip sample 329015 with 4.65g/t gold, 70.5g/t silver and 19.15% antimony over 1m.
    • Rock chip sample 329085 with 3.21g/t gold, 178g/t silver and 0.37% antimony over 3m.
    • Rock chip sample 329089 with 5.99g/t gold, 246g/t silver and 0.71% antimony over 1m.
  • Highlight past drilling results at Horse Heaven (Appendix B) include drill intersections of:
    • Drill hole 87-GGR-31: 85.34m @ 0.937g/t Au (true width unknown), including 38.10m @ 1.459g/t Au.
    • Drill hole 86-GGR-10: 105.16m @ 0.787g/t Au (true width unknown); including 51.82m @ 0.990g/t Au.
    • Drill hole 86-GGR-01: 30.48m @ 1.354g/t Au (true width unknown).
  • Historical, non-JORC gold resource of 216,000 ounces of gold in 7,256,800 tons of material at a grade of 0.93g/t at Golden Gate Hill, and gold resource of 70,000 ounces of gold in 3,174,850 tons of material at a grade of 0.69g/t at Antimony Hill are noted in previous reports of Horse Heaven.

Cautionary note:

The estimate is a ‘historical estimate’ under ASX Listing Rule 5.12 and is not reported in accordance with the JORC Code. A Competent Person has not yet undertaken sufficient work to classify the historical estimate as mineral resources or ore reserves in accordance with the JORC Code. It is uncertain that, following evaluation and/or further exploration work, it will be possible to report this historical estimate as mineral resources or ore reserves in accordance with the JORC Code.

  • Horse Heaven also hosts 10km to 15km of additional strike length of potentially mineralised faults and shears traversing favourable host rocks.
  • The Exploration Model applicable for the Horse Heaven Project is Intrusion Related Gold System (“IRGS”) and a deposit analogue for the Horse Heaven Project is the adjacent NASDAQ-listed Perpetua Resources Corp (PPTA.NAS, ~A$2 billion market cap) owned Stibnite Gold Mine.*
  • The Stibnite Gold Mine is located 5km to the east of the Horse Heaven Project and, once reopened, will be the only domestically mined source of antimony in the U.S.1
  • Past exploration at Horse Heaven includes historical (1890 to 1950), late 1900s (1970 to 1990s) and modern (2000 to 2023) exploration phases, with the latter mainly conducted by TSX-V-listed Stallion Uranium Corp.
  • Antimony, Tungsten and Gold at record high prices as China tightens grip on critical minerals exports.
  • The Horse Heaven Project complements the Company’s recently acquired Australian Au-Sb-Cu projects to create a dynamic portfolio highly leveraged for gold and antimony.

RML’s Executive Director, Aharon Zaetz commented:

“The Board considers that the acquisition of the Horse Heaven Project has the potential to be a transformative event for RML. As many governments around the world look to onshore their supply of critical minerals, such as antimony and tungsten, we have secured a commanding ground position with known antimony occurrences and next to what is likely to become the largest antimony producer in the USA.

RML’s entry into US critical minerals comes at a terrific time, with the market attributing huge premiums to ASX-listed companies operating in the space over the last 8 weeks, such as Dateline Resources (DTR), Trigg Minerals (TMG) and Locksley Resources (LKY) which have all seen significant re-ratings in recent weeks, thanks to the supportive pro-mining policies of new President Donald Trump.”

Click here for the full ASX Release

This post appeared first on investingnews.com

Chipotle Mexican Grill is hoping that Americans’ love for ranch will boost its sales.

On June 17, the burrito chain is launching Adobo Ranch, a spicier take on the iconic condiment that has transcended salads to adorn pizza, chicken wings and chips. The menu item is Chipotle’s first new dip since queso blanco, which launched in 2020.

The debut comes as Chipotle tries to recover from a rough start to the year. In the first quarter, the company reported its first same-store sales decline since 2020. Executives cited a pullback from consumers who had become more concerned about the economy.

The company also lowered the top end of its outlook for full-year same-store sales growth and said traffic wouldn’t grow until the second half of the year.

Shares of Chipotle have fallen 12% this year, dragging its market cap down to $71 billion.

But Adobo Ranch could help to boost the company’s sales if it draws cautious diners back to the chain’s restaurants.

The dipping sauce is made with adobo peppers, sour cream and herbs and spices, according to the company. Adding Adobo Ranch to an order will cost an extra 75 cents.

Ranch outsells ketchup, although NIQ retail sales data shows that mayo still holds the top spot as the favorite condiment of U.S. consumers.

This post appeared first on NBC NEWS

Walmart’s majority-owned fintech startup OnePay said Monday it was launching a pair of credit cards with a bank partner for customers of the world’s biggest retailer.

OnePay is partnering with Synchrony, a major behind-the-scenes player in retail cards, which will issue the cards and handle underwriting decisions starting in the fall, the companies said.

OnePay, which was created by Walmart in 2021 with venture firm Ribbit Capital, will handle the customer experience for the card program through its mobile app.

Walmart had leaned on Capital One as the exclusive provider of its credit cards since 2018, but sued the bank in 2023 so that it could exit the relationship years ahead of schedule. At the time, Capital One accused Walmart of seeking to end its partnership so that it could move transactions to OnePay.

The Walmart card program had 10 million customers and roughly $8.5 billion in loans outstanding last year, when the partnership with Capital One ended, according to Fitch Ratings.

For Walmart and its fintech firm, the arrangement shows that, in seeking to quickly scale up in financial services, OnePay is opting to partner with established players rather than going it alone.

In March, OnePay announced that it was tapping Swedish fintech firm Klarna to handle buy now, pay later loans at the retailer, even after testing its own installment loan program.

In its quest to become a one-stop shop for Americans underserved by traditional banks, OnePay has methodically built out its offerings, which now include debit cards, high-yield savings accounts and a digital wallet with peer-to-peer payments.

OnePay is rolling out two options: a general purpose credit card that can be used anywhere Mastercard is accepted and a store card that will only allow Walmart purchases.

Customers whose credit profiles don’t allow them to qualify for the general purpose card will be offered the store card, according to a person with knowledge of the program.

OnePay hasn’t yet disclosed the rewards expected for making purchases with the cards. The Synchrony partnership was reported earlier by Bloomberg.

“Our goal with this credit card program is to deliver an experience for consumers that’s transparent, rewarding, and easy to use,” OnePay CEO Omer Ismail said in the Monday release.

“We’re excited to be partnering with Synchrony to launch a program at Walmart that checks each of those boxes and will help serve millions of people,” Ismail said.

This post appeared first on NBC NEWS

Frederick Forsyth, the British author of “The Day of the Jackal” and other bestselling thrillers, has died after a brief illness, his literary agent said Monday. He was 86.

Jonathan Lloyd, his agent, said Forsyth died at home early Monday surrounded by his family.

“We mourn the passing of one of the world’s greatest thriller writers,” Lloyd said.

Born in Kent, in southern England, in 1938, Forsyth served as a Royal Air Force pilot before becoming a foreign correspondent. He covered the attempted assassination of French President Charles de Gaulle in 1962, which provided inspiration for “The Day of the Jackal,” his bestselling political thriller about a professional assassin.

Published in 1971, the book propelled him into global fame. It was made into a film in 1973 starring Edward Fox as the Jackal and more recently a television series starring Eddie Redmayne and Lashana Lynch.

In 2015, Forsyth told the BBC that he had also worked for the British intelligence agency MI6 for many years, starting from when he covered a civil war in Nigeria in the 1960s.

Although Forsyth said he did other jobs for the agency, he said he was not paid for his services and “it was hard to say no” to officials seeking information.

“The zeitgeist was different,” he told the BBC. “The Cold War was very much on.”

He wrote more than 25 books including “The Afghan,” “The Kill List,” “The Dogs of War” and “The Fist of God” that have sold over 75 million copies, Lloyd said.

His publisher, Bill Scott-Kerr, said that “Revenge of Odessa,” a sequel to the 1974 book “The Odessa File” that Forsyth worked on with fellow thriller author Tony Kent, will be published in August.

“Still read by millions across the world, Freddie’s thrillers define the genre and are still the benchmark to which contemporary writers aspire,” Scott-Kerr said.

This post appeared first on cnn.com

A shooter opened fire at a high school in the Austrian city of Graz, authorities said Tuesday, killing eight people including teenagers.

Officers first responded to the reports of “several” suspected gunshots at the Bundesoberstufenrealgymnasium Dreierschützengasse school in the northwest of the city at around 10 a.m. local time (4 a.m. ET).

Several vehicles and a police helicopter were deployed to the site. The school was evacuated and the area was secured, with no further danger expected, the police said on social media.

Gun violence is rare in Austria, along with most central European countries. The country’s rate of firearm homicides was just 0.1 per 100,000 people in 2021, according to the Institute for Health Metrics and Evaluation, compared to 4.5 per 100,000 people in the United States.

But a small number of high-profile violent incidents have taken place there in recent years. Last October, the mayor of a northern Austrian town was shot dead, along with another victim.

In February, a 23-year-old man stabbed five passersby in southern Austria in what police said was a random attack.

This is a developing story and will be updated.

This post appeared first on cnn.com

Sector Rotation: A Week of Stability Amidst Market Dynamics

Last week presented an intriguing scenario in our sector rotation portfolio.

For the first time in recent memory, we witnessed complete stability across all sector positions — no changes whatsoever in the rankings.

  1. (1) Industrials – (XLI)
  2. (2) Utilities – (XLU)
  3. (3) Consumer Staples – (XLP)
  4. (4) Communication Services – (XLC)
  5. (5) Financials – (XLF)
  6. (6) Technology – (XLK)
  7. (7) Real-Estate – (XLRE)
  8. (8) Materials – (XLB)
  9. (9) Consumer Discretionary – (XLY)
  10. (10) Healthcare – (XLV)
  11. (11) Energy – (XLE)

Weekly RRG: Steady as She Goes

The weekly Relative Rotation Graph (RRG) continues to paint a picture of gradual shifts. Utilities and Consumer Staples, while still occupying high RS ratio levels, are moving lower on the chart. Utilities clings to the leading quadrant, but Consumer Staples has just crossed into weakening territory.

Financials and Communication Services remain in the weakening quadrant, but their RS momentum levels have stabilized. Communication Services shows a slight uptick, while Financials maintains a negative heading — albeit well above the 100 mark.

Industrials, our current star performer, continues its reign in the leading quadrant. It’s gaining ground on the RS-ratio axis while experiencing a minor dip in RS momentum. All in all, the weekly picture remains essentially unchanged from last week.

Daily RRG

Shifting our focus to the daily RRG, we start to see more nuanced movements:

  • Staples and Utilities are rotating within the improving quadrant, losing ground on the RS momentum axis without gaining in RS ratio. This suggests further weakening on the weekly chart is likely.
  • Financials have made their way into the improving quadrant — a positive development that builds on last week’s progress.
  • Communication Services is practically aligned with the benchmark (SPY), showing little distinctive movement.
  • Industrials continues deeper into the weakening quadrant, but — and this is crucial — its RRG velocity (the distance between tail nodes) is very low. This keeps the door open for a potential curl back up before hitting the lagging quadrant, which would reinforce its strong position.

Industrials: Breaking New Ground

The price chart for Industrials is confirming its current strength with a break above overhead resistance. This breakthrough is likely to unlock more upside potential, keeping the sector firmly at the top of our list. The relative performance continues to reflect this positive momentum.

Utilities: Struggling at Resistance

Once again, Utilities tested its overhead resistance (between 83 and 84) but failed to break higher. Prices retreated into the range by week’s end. This setback is causing relative strength to drop back into its sideways trading range, with RRG lines rolling over. The sector needs a swift improvement in both price and relative strength to maintain its recent strong position.

Consumer Staples: Déjà Vu

Consumer Staples finds itself in a similar boat to Utilities. Another attempt to break overhead resistance around 83.5 was met with a pullback. This pattern has been repeating for weeks, and it’s taking its toll on the raw relative strength line.

While the RS ratio remains high — a legacy of strength since the year’s start — the rapid loss of relative momentum is causing the RS ratio to roll over. Like Utilities, consumer staples need a quick price improvement to maintain its top-five position.

Communication Services: Closing In

Communication Services had a strong week, closing near the range’s high end and approaching its previous peak just above 105. This improvement has kept the raw relative strength line against SPY within its rising channel. Continued strength, especially if XLC breaks above 105, should keep relative strength in an uptrend and likely cause the RRG lines to curl back up soon.

Financials: Battling Resistance

Financials continue to struggle with an old rising support line, now acting as resistance near the 52 area where the previous high is located. This price stagnation has caused the raw RS line to break its rising support, leading the RRG lines to roll over. The RS momentum line has already dropped below 100, and the RS ratio is starting to move lower.

We’ve seen the daily tail for XLF pick up slightly — this acceleration needs to continue in the coming weeks for XLF to maintain its top-five position.

Portfolio Performance

Due to the positions of Consumer Staples and Utilities, our top five remains defensively positioned. This has caused our underperformance versus SPY to widen slightly — we’re now just over 6% behind since the start of the year.

Is this ideal? Of course not. But here’s the thing — trend-following systems need time to play out. The worst thing you can do is abandon a strategy just because it’s going against you for a few months. (And let’s be honest, it’s only been since May — so two months.)

I will stay the course, maintain discipline, and continue to track this portfolio based on our established metrics. It’ll be interesting to see how long it takes for this strategy to come back on top and start outperforming SPY again. Patience is key in these situations.

#StayAlert and have a great week. –Julius