Baron Rothschild once said, “buy when there’s blood in the streets”. Leading investment banker, Nate Arcissist CFA says it’s time to take this statement literally.
“People are rioting in the streets, the President is threatening to set attack dogs on US citizens. Meanwhile, thousands of people are dying every day from an invisible virus that drowns you in your own lungs. There’s never been a better time to buy.”
Investors around the world seem to be nodding in agreement
The NASDAQ, based out of New York, rallied 0.66% on Monday to 9,552 points, less than 3% shy of all time highs. New York Governor, Andrew Cuomo announced mandatory curfews and additional police presence to deal with the rioting and looting. Meanwhile, 167 people died from COVID-19 in New York over the weekend.
Meanwhile, in Washington DC the President was hiding in a bunker as rioters set fire to areas around the White House.
In Brazil, the Bovespa rallied 1.39% on Monday. This follows Brazil’s recent rise to second on the global leaderboard for most COVID-19 cases. Saturday was Brazil’s biggest day yet for new cases, becoming the only country other than the USA to reach 30,000 new cases in a single day.
Hong Kong’s Hang Seng Index climbed a massive 3.36% on Monday after the Chinese National People’s Congress voted 2,878 to 1 last week in a very fair and unbiased decision to impose Chinese law on Hong Kong and remove its sovereignty. Additionally, the USA has stripped Hong Kong of its special trading status in a move some commentators have said puts Hong Kong at ‘ground zero for the new Cold War’.
London’s FTSE 100 was up 1.48% on Monday. Mr Arcissist says that as no one has heard about a Brexit deal since February, markets are assuming everything is fine.
While value was apparent across the board, Mr. Arcissist said he was particularly attracted to weapons manufacturers, military contractors, and uranium equities at this point.
“With the possibility of a major global or civil war rising by the day, the tailwinds behind this thematic are explosive.”