Caution: We Could See another Retest

Caution: We Could See another Retest of the Market Lows This Week

by Louis Navellier

September 8, 2015

*All content in the Marketmail Introduction is the opinion of Louis Navellier of Navellier & Associates, Inc.*

The big sell-off on Tuesday looked like a classic retest of the August 24th lows, but trading volume was light due to the upcoming Labor Day weekend, so I believe that a real retest on higher trading volume is likely this week, after the long holiday weekend.  I know it’s painful to watch CNBC and fear the worst, but this is a normal market shake-out.  All I care about is that any selling pressure is “exhausted” on the inevitable retest(s). I expect that any such higher-volume retest will occur by next Tuesday, September 16, the day the Federal Open Market Committee (FOMC) meets. The next day, September 17, the Fed will announce its long-awaited interest rate decision and also provide guidance on its policy parameters moving forward.  Due to chaos around the world and an abrupt slowdown in China, I expect that the Fed will postpone the expected September interest rate hike until its December FOMC meeting.  I also expect a substantial stock market rebound if the September 17th FOMC statement is interpreted as “positive.”

Chinese Bicyclists ImageSpeaking of China, a report prepared by the International Monetary Fund (IMF) for a meeting of the Group of 20 finance officials warned last Wednesday that China’s slowdown now threatens global economic growth.  Specifically, the IMF report said that “Risks are tilted to the downside, and a simultaneous realization of some of these risks would imply a much weaker outlook” and then added that “strong mutual policy action is needed to raise growth and mitigate risks.”  This last comment by the IMF is fascinating, since they seem to be advising the Fed not to raise key interest rates and other central banks to cut interest rates.  The IMF officially advised the Fed months ago not to raise key interest rates until 2016, so the IMF has strong opinions on what actions various central banks should take.  Interestingly, after the IMF’s comments, European Central Bank (ECB) President Mario Draghi, at a press conference on Thursday, emphasized the ECB’s willingness to act if downside risks rise.

I should add that crude oil has been more volatile than the stock market in the past several days.  Month-end short covering seemed like the initial catalyst for why crude oil futures soared approximately 24% before consolidating a bit in recent days.  One reason that crude oil prices have resumed consolidating is that Saudi Arabia rejected Venezuela’s request for an emergency OPEC meeting to curtail crude oil production.  Saudi Arabia was producing 10.45 million barrels per day in July, up from 10.1 million barrels per day in April, as part of a strategy to gain market share in Asia.  Iraq, Iran, and other OPEC producers are also ramping up their own crude oil production; so OPEC is no longer acting as an effective cartel. Therefore, I expect crude oil prices to decline in the upcoming weeks as seasonal demand dips.

In This Issue

In Income Mail, Ivan Martchev handicaps the Fed funds futures market as well as the chances we’ll see a short, sharp spike in oil before it falls again.  In Growth Mail, Gary Alexander will look at what happened after the market’s longest spell without a 10% correction (1990-97), and then I’ll return with a look at the job report, along with a survey of the latest GDP growth rates in Canada, China, the U.S., and elsewhere.

Income Mail:
Geopolitics is the Only Temporary Saving Grace for Oil
by Ivan Martchev
The Futures Market Does not believe the Fed

Growth Mail:
After The Latest Market Hurricane, What’s Next?
by Gary Alexander
What a Difference a Month Makes
What Happened After the Longest, Strongest Rise (1990-97) Without a 10% Correction?
Happy Birthday, Wall Street

Stat of the Week:
America Adds Only 173,000 Jobs in August
by Louis Navellier
Growth in China, Canada (and Elsewhere) is Slowing

Income Mail:

*All content in Income Mail is the opinion of Navellier and Associates and Ivan Martchev*

Geopolitics is the Only Temporary Saving Grace for Oil

by Ivan Martchev

The epic short squeeze in oil futures last week that was telegraphed as the biggest surge in 25 years is only that – a short squeeze. So far, it looks like what happened in oil futures at the very end of January, when we had a similar three-day surge, point-wise. Percentage-wise, last week’s surge was larger; but that is only because it comes from a much lower base – we took out those January lows long ago.

Crude Oil WTI - Daily OHLC Chart

Graphs are for illustrative and discussion purposes only. Please read important disclosures at the end of this commentary.

I think this is a short squeeze as the fundamental backdrop for oil prices has deteriorated since January. U.S. production is up dramatically over last year while global demand growth has decelerated courtesy of #1 oil consumer China, which is rapidly marching toward a recession, in my opinion. The coming Chinese recession is due to a crash in both its real estate and stock markets combined with a large unproductive debt overhang that has been piling up for over a decade. Economies that reach record financial leverage tend to react more severely to dislocations in real estate and stock prices than those that have low debt-to-GDP ratios.

Contributing to the short squeeze in oil futures was news at the beginning of last week that U.S. oil production this year has been lower than previously estimated. For the very short term, traders chose to ignore the still-significant year-over-year growth -- total production in the first half of 2015 was still 9.4 million barrels a day. The short squeeze was so significant that it pushed the junk bond market higher and Treasuries lower, as energy is the most problematic junk bond sector. Disappearing cash flows over the past year have pressured energy junk bonds much harder than other junk bonds. After oil futures rose better than 20% in three days, there was a relief bounce in energy junk.

Bank of America Merrill Lynch High Yield Bonds Chart

Graphs are for illustrative and discussion purposes only. Please read important disclosures at the end of this commentary.

I think it is only a matter of time before we make new lows in oil if the market is left to operate on supply and demand factors driven by global economic growth. It is possible that we could see a super spike in oil if the Middle East flares up and there are major disruptions in the flow of oil. In one such scenario, The Telegraph last Friday ran a story detailing how Russian President Vladimir Putin has confirmed major involvement in Syria and there are reports of large movement of Russian military equipment towards the region as well as advanced Russian weaponry in use on Syrian battlefields (see the 4 September Telegraph article, “Vladimir Putin confirms Russian military involvement in Syria’s civil war”).

Somehow this makes the short squeeze in oil futures a bit more explainable. Even though Syria does not have a lot of oil, it does have the only land routes that could transport Saudi and Qatari oil and natural gas to Europe. And since the Syrian government is a Russian ally – or whatever is left of the country since half of Syria is controlled by ISIS – the Russians would like nothing more than for the Syrians to win and for the status quo to remain “as is” with no Qatari and Saudi pipelines crossing Syria.

A Russian “blitzkrieg” into Syria targeting ISIS – it is quite ironic to use this Nazi term on the Russians themselves – will pay for itself as it is extremely unlikely for oil to remain at present levels if there is a large Russian military operation on the ground. Since the largest contribution to the Russian budget is the price of oil, a 50% to 100% appreciation in the oil price for a few months would pay in large part for the possible military campaign targeting ISIS. While we should not get ahead of the developments on the ground, the question that begs to be asked is do the Russians stop at the Iraqi border if they get involved?

Unless this Russian troop movement means the above-described Syrian escalation, the fundamentals for oil are bearish as both the seasonal and cyclical factors are suggesting lower oil prices; so the only thing remaining is this geopolitical wild card. In my opinion, this suggests that the rebound in the junk bond market should be used as an opportunity to get out of junk bonds and not as a sign to load up on higher yields.

Ten Year Treasury Note - Monthly OHLC Chart

Graphs are for illustrative and discussion purposes only. Please read important disclosures at the end of this commentary.

Whether oil has a geopolitical super-spike coming, or continues to drift lower courtesy of the Chinese economic unraveling that is being felt in all major emerging markets dependent on commodities, it looks like the Treasury market is likely to see new lows in yields in 2016. If the Syrian situation escalates in the fourth quarter, we may see new lows in 10-year yields in 2015; but so far escalation is only a speculation. I have great difficulty rationalizing a Fed interest rate hiking cycle at a time when China’s economy has crashed, but central bankers have been known to make mistakes and we have yet to see the Fed officially back off its tightening stance. This makes Treasuries the only game in town in the bond market.

The Futures Market Does not believe the Fed

Since we are coming up on the glorious day of September 17 when the Fed may or may not raise the Fed funds rate, we have to see what futures traders think about the likelihood of such a significant monetary event. The September, October, and November fed funds futures closed at 99.835, 99.80, and 99.755, respectively, on Friday. That mean that as of Friday, fed fund futures traders forecast that the fed funds rate would be less than 25 basis points as of contract settlement in all of those months as the contracts are priced at 100 minus the expected fed funds rate at time of contract settlement.

The only (small) door open for a rate hike is December according to those same fed funds futures traders, as that contract (symbol ZQZ15) closed on Friday at 99.715. However, as the stock market began to sell off in late August, that December fed fund futures contract also registered a fresh contract high of 99.78; so for a while it too forecasted no fed funds rate hike in 2015. As the stock market has rebounded somewhat, despite the volatility, December fed funds futures have declined below the 99.75 level that indicated an expected fed funds rate of 25 basis points (or the no-hike level).

Thirty Day Fed Funds - Daily OHLC Chart

Graphs are for illustrative and discussion purposes only. Please read important disclosures at the end of this commentary.

With the headline dollar index (DXY) closing at 96.10 on Friday, there is the perception that the dollar has been in a trading range as the euro has so far managed to stay above the 1.0450 low from March when the DXY was above 100. This is being taken as a confirmation in a way that the Fed is likely to postpone any rate hikes as the U.S. is the only country in the dollar index that is mulling any interest rate hikes.

The Broad Trade-Weighted Dollar Index paints a different picture and has continued to power ahead. That broader index is closing in on the all-time high set in 2002.

Trade Weighted United States Dollar Index Chart

Graphs are for illustrative and discussion purposes only. Please read important disclosures at the end of this commentary.

I don't think there is a contradiction between the headline and the broad trade-weighted dollar index in the sense that it is entirely possible that the headline index (DXY) is forecasting delayed rate hikes by the Fed while the broad dollar is reflecting the collapse in commodity prices that is causing (in part) the Fed to delay those rate hikes. The broad dollar index includes the Euro Area, Canada, Japan, Mexico, China, United Kingdom, Taiwan, Korea, Singapore, Hong Kong, Malaysia, Brazil, Switzerland, Thailand, Philippines, Australia, Indonesia, India, Israel, Saudi Arabia, Russia, Sweden, Argentina, Venezuela, Chile, and Colombia. Most of those free floating emerging market currencies are in trouble and that trouble is unlikely to end whether we have a geopolitical spike in oil or not.

United States Dollar - Brazilian Real Exchange Rate Chart

Graphs are for illustrative and discussion purposes only. Please read important disclosures at the end of this commentary.

The trouble is caused by China with an economy that is over $11 trillion. As the Chinese credit bubble deflates, I expect that we will see defaults on emerging markets debt and a series of currency crises in the EM space that are likely to push the Broad Trade-Weighted Dollar Index to an all-time high whether the Fed rate hikes are delayed or not.

Growth Mail:

*All content in Growth Mail is the opinion of Navellier and Associates and Gary Alexander*

After The Latest Market Hurricane, What’s Next?

by Gary Alexander

On July 21, 2015, The Wall Street Journal wrote, “It’s Official: This is the Most Boring Stock Market in Decades.”  The author, Michael Driscoll, described the eerie calm in the midsummer markets like this:

“We’re now well past the halfway point for 2015, and the Dow Jones Industrial Average has yet to move more than 3.7% on a closing basis, from where it was when the bell struck at 4 p.m. on December 31, at 17823.07.  How unusual is that?  Since 1998, or as far back as FactSet traces, the deepest into the calendar we’ve gone without moving 5% from the year’s opening level is May 17. That came in 2004.”

I said basically the same thing in my August 4 Growth Mail here, in an article entitled, “Does This Eerie Calm Portend another Market Hurricane?”  My opening paragraph sounded similar to the Journal’s yawn:

“The S&P 500 has been trading in a very narrow range over the last six months – from a low of 2040 to a high of 2130.82.  At no point during the first seven months of this year did the S&P 500 close up or down more than 3.5% from its 2014 closing figure of 2058.9. Through July 31, the S&P 500 is up 2.18% year-to-date, but the Dow Jones index is down 0.75%.  Bespoke has called 2015 ‘The Year of the Sloth.’”

What a Difference a Month Makes

After the Journal and I wrote those sleepy midsummer lullabies, the market suffered its two worst weeks of the year.  As Marketwatch said last Friday (in “Dow posts triple-digit drops, caps second worst week in 2015”), “Friday’s losses capped another brutal week for the main indexes, which suffered their second-largest weekly losses for the year.”  Marketwatch reported that the S&P 500 fell 3.4% last week and 29 of the 30 Dow Industrial stocks lost ground last week, with the DJIA losing 1,750 points since July 22.

This belated correction drove me (once again) to the history books. First, I looked at the three longest time spans without a 10% correction in the S&P 500 since 1950, and they all came fairly recently:

The Three Longest Stretches without a 10% Correction

  1. October 1990 to October 1997 (84 months)
  2. March 2003 to October 2007 (55 months)
  3. October 2011 to August 2015 (46 months)

Source: Theironcondor.com

 Months Without a 10% close to close price correction Chart

Graphs are for illustrative and discussion purposes only. Please read important disclosures at the end of this commentary.

In looking back to the last big correction – most of which took place in the first half of August, 2011 – I found some eerie similarities to the current situation.  Not only did the 2011 market storm fall in August that year, but the previous seven months were extremely quiet, like this year. The S&P 500 was almost perfectly flat in 2011.  The index began the year at 1257.64 and then “fell” 0.003% to 1257.60 at year’s end, but that apparently placid sea was disrupted by a market hurricane in early August, caused by a dysfunctional Congress arguing about a U.S. debt ceiling, which led Standard & Poor’s to downgrade the Treasury’s debt from AAA to AA+ on August 5, resulting in a 635-point DJIA drop the next market day.

What happened next? Since 2011, the S&P 500 has had three great years: +13.4% in 2012, +29.6% in 2013, and +11.4% in 2014.  Even with the sharp declines of the last three weeks, the S&P 500 is still up 66% (as of last Friday’s close) from its reading of 1154.23 four years ago today, on September 9, 2011.

What Happened After the Longest, Strongest Rise (1990-97) Without a 10% Correction?

The longest time stretch without a 10% correction was October 1990 to October 1997.  During those seven fat years, the S&P 500 rose 233%, from 295.46 on October 11, 1990 to 983.12 on October 7, 1997.  The external event that broke this 84-month winning stretch without a 10% correction was none other than the Asian Currency Crisis – a situation somewhat similar to China’s current deflationary implosion.

On Monday, October 27, 1997, the S&P 500 fell nearly 7% from 941.64 to 876.99.  The intraday low came the next morning at 855.26, representing a three-week 10.8% decline on a closing basis and -13% on an intra-day basis.  Using the DJIA, that Monday’s 554-point drop (-7.2%) from 7715 to 7161 was the worst one-day point drop in history to that date.

What happened next? As of the close on Tuesday, October 28, 1997, the DJIA rose 337.17 points, the biggest one-day point rise in history, to that date. Longer-term, the DJIA rose 63% in the next two years, while the S&P 500 rose 74% in the next 29 months to reach a peak of 1527 on March 23 & 24 of 2000.

Asian Currency ImageThere was a very real Asian Currency Crisis going on in late 1997 and it wasn’t solved right away.  A secondary crisis erupted the following summer, when a collapse of the Russian ruble brought about the demise of a major hedge fund, Long-Term Capital Management (LTCM) and another major stock market panic that lasted through early October, followed by one of the strongest recoveries in market history.

In last weekend’s “Economic Beat” column (“Great News! It’s 1998 Again”), Barron’s’ economics editor Gene Epstein opened by saying, “The parallels between the U.S. economy of today and that of the summer and fall 1998 became even more apparent last week.  If the analogy holds, expect growth in real GDP to run at an annualized rate of 3.5% in the second half of this year and well through next year. Also expect the stock market averages to make new highs at some point over the next 12 months.”

Epstein compared the two Asian crises (of 1997-98 and today) and then cited some economic parallels.  In August 1998, for instance, he said, “the ISM manufacturing index stood at a contractionary 49.3, and fell to a practically recessionary 46.8 by December of that year.  By August ’99, it had climbed back to a solidly expansionary 54.8.” This compares with last week’s ISM manufacturing index’s 1.6 point decline.

The 1997-98 market recovered strongly because the Asian Currency Crisis did not spread to our shores. Today, it’s my contention (along with many others) that China’s current crisis will not severely impact the U.S. economy.  For instance, James Surowieci wrote this in the current (September 7) New Yorker:

“Given how much we hear about China’s economic importance, you might think that these problems would have a big impact on the U.S. They won’t. In fact, total U.S. exports to China are just a hundred and sixty-five billion dollars, less than one per cent of G.D.P. There are certainly firms—including commodity producers, microchip makers, and fast-food companies—for which China is a huge market today. But for most firms the prospect of selling billions of products to Chinese consumers remains more of a promise than a reality. Goldman Sachs, for instance, estimates that just two per cent of the S. & P. 500’s revenues come from sales to China.”

My conclusion is that when the stock market ends a long consecutive string of months without a 10% correction, the market usually has a year or more for investors to examine the fundamentals to decide if they want to sell stocks.  There need be no “rush for the exits” after a normal August hurricane like this.

My second conclusion is that whenever anyone tells you this is “the worst (anything) in the last 30 years,” ask: “What happened next?”  More often than not, you will discover a positive outcome after past storms.

September 9 in Market History

Happy Birthday, Wall Street

On September 9, 1901, New York Stock Exchange (NYSE) officials laid the cornerstone for a new NYSE building at 18 Broad Street.  It was finished in 1903 and is still operational today. Exactly 80 years later, at 3:30 p.m. on September 9, 1981, a power outage forced NYSE to shut down for the rest of the trading day. Con Edison fixed it – faster than their normal house call – in time for markets to open the next day.

The stock market was much calmer – unusually placid, in fact – on Monday, September 10, 2001, the day before September 11.  The DJIA fell just one-third of a point that day, dropping from 9605.85 to 9605.51.  The New York market did not open again until the following Monday, when it fell 684.71 points on the DJIA, the largest single daily decline to that point, exceeded only twice after that in the early fall of 2008.

Spitfire Image75 years ago, on Monday, September 9, London’s fire brigades were putting out major blazes in the City of London after the German air force (Luftwaffe) began bombing London that weekend, killing 300 on the first day alone. On this day, the Royal Air Force staged a dramatic counterattack, shooting down 28 German planes, quickly turning the tide in the Battle of Britain by “Battle of Britain Day,” September 15.

On September 9, 1942, in a less fiery attack, Japan dropped incendiary balloons on Oregon in an attempt to set fire to the forests of Oregon and Washington State. Unlike today, the woods did not catch fire.

1956: 54 million viewers (82.6% of the entire national TV audience) tuned in to CBS, as Ed Sullivan introduced 21-year-old Elvis ‘The Pelvis’ Presley, who sang “Hound Dog” and “Love Me Tender.”  Sullivan would not let the camera shoot below his waist.  Elvis got $50,000, Sullivan’s largest-ever fee.

1965: On this day 50 years ago, Sandy Koufax pitched a perfect game, the first by a left-hander since 1880. In world news, Francois Mitterrand was nominated for the presidency of France, Tibet was made an autonomous region of China, and U.S. Navy pilot James Stockdale (later Ross Perot’s VP candidate) was shot down in Vietnam.  He was tortured and held in the infamous “Hanoi Hilton” prison until 1973.

1976: After 27 years ruling “Red” China, Chairman Mao Zedong died at age 83, setting the stage for China’s re-emergence on the world scene, first under the leadership of Deng Xiaoping from 1978 on.

Stat of the Week:

*All content in this "Stat of the Week" section of Market Mail represents the opinion of Louis Navellier & Associates, Inc.*

America Adds Only 173,000 Jobs in August

by Louis Navellier

On Friday, the Labor Department reported that only 173,000 payroll jobs were created in August, a figure that was substantially below economists’ consensus estimate of 220,000.  However, the payroll figures for June and July were revised up by a combined 44,000 to 245,000 (up from 231,000) and 245,000 (up from 215,000), respectively, which is encouraging, since the August job totals may also be upwardly revised.  (As Gene Epstein of Barron’s showed, the average August revisions of the last five years were +79,000.)

Pipeline Worker ImageThe unemployment rate declined to 5.1% (down from 5.3%), due largely to a shrinking workforce.  The labor force participation rate remained unchanged at 63.6% for the third straight month and remains at a 38-year low, which is troubling.  Average hourly earnings rose just 8 cents or 0.3% in August and have risen a modest 2.2% in the past 12 months.  Previously, on Wednesday, ADP reported that 190,000 private sector jobs were created in August.  ADP also revised July’s private sector payroll growth to 177,000, down from its initial estimate of 185,000.  Overall, the August payroll data was disappointing; so I still do not expect that the “data dependent” FOMC will raise key interest rates on September 17th.

Another factor that will likely influence the Fed’s interest rate decision was last Wednesday’s report from the U.S. Department of Labor that productivity rose at a 3.3% annual pace in the second quarter, up substantially from its initial estimate of a 1.3% annual increase.  This big upward revision is attributable to a jump in goods and services.  Interestingly, despite the surge in second-quarter productivity, in the past 12 months, productivity has risen only 0.7%.  The other interesting tidbit in the productivity report was that unit labor costs declined at a 1.4% annual rate in the second quarter instead of rising by 0.5%, as initially estimated. This decline in labor costs will not make Fed Chair Janet Yellen, a labor economist, prone to raising rates.

Growth in China, Canada (and Elsewhere) is Slowing

On Tuesday, the China National Bureau of Statistics announced that its official Purchasing Managers Index (PMI) declined to 49.7 in August, down from 50 in July.  This is the lowest level for China’s official PMI in three years and since any reading below 50 signals a contraction, the August PMI spooked the global financial markets.  The immediate impact in the wake of China’s contracting PMI will likely be lower commodity prices, since China is a major user (#1 or #2 in the world) of many raw materials.

South Korea ImageThe other reason why China’s economic health is so important is because if the Chinese economy gets sick, then its major trading partners will likely falter.  For instance, South Korea’s August exports declined 14.7% from August of 2014, according to the Wall Street Journal. This is alarming, since exports account for approximately half of that country’s GDP growth.

In addition, Reuters reported on September 1 that Canada’s PMI dipped to 49.4 in August, down from 50.8 in July. Our neighbor to the North is now officially in a recession after posting two consecutive quarters of negative growth.  According to Markit Economics, some other countries with contracting PMIs and shaky economic growth include Brazil, France, Greece, Indonesia, Malaysia, Russia, and Taiwan; but India, Japan, and Vietnam all have positive PMI trends.

The U.S. PMI is positive but slowing.  Specifically, on September 1st, the Institute of Supply Management (ISM) announced that its manufacturing purchasing managers index slipped to 51.1 in August, down from 52.7 in July.  The ISM PMI is now at its lowest level since May 2013, but since America’s PMI remains above 50, at least the U.S. manufacturing sector is still expanding.

On Thursday, ISM announced that its service index slipped to a very healthy 59 in August, down from 60.3 in July.   Ironically, due to a strong service sector as well as the fact that the U.S. economy is so large, the U.S. is one of the few trading partners with China that may not slip into a recession even though Brazil, Canada, Indonesia, Malaysia, Russia, and South Korea are all now struggling to sustain growth.

Due to lower prices for crude oil and other imports, the U.S. Commerce Department announced on Thursday that the trade deficit fell 7.4% to $41.9 billion in July. Exports rose 0.4% to $188.5 billion and imports declined 1.1% to $230.4 billion.  Interestingly, the prices of electronic items (like cell phones) and pharmaceuticals declined in July, which is evidence that a strong U.S. dollar is fueling deflation in imported goods.  Overall, a shrinking trade deficit is great news for continued strong GDP growth.


It should not be assumed that recommendations made in the future will be profitable or will equal the performance of the securities in this list. Click here to see the preceding 12 month trade report.

Although information in these reports has been obtained from and is based upon sources that Navellier believes to be reliable, Navellier does not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute Navellier's judgment as of the date the report was created and are subject to change without notice. These reports are for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of a security. Any decision to purchase securities mentioned in these reports must take into account existing public information on such securities or any registered prospectus.

Past performance is no indication of future results. Investment in securities involves significant risk and has the potential for partial or complete loss of funds invested. It should not be assumed that any securities recommendations made by Navellier. in the future will be profitable or equal the performance of securities made in this report.

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None of the stock information, data, and company information presented herein constitutes a recommendation by Navellier or a solicitation of any offer to buy or sell any securities. Any specific securities identified and described do not represent all of the securities purchased, sold, or recommended for advisory clients. The reader should not assume that investments in the securities identified and discussed were or will be profitable.

Information presented is general information that does not take into account your individual circumstances, financial situation, or needs, nor does it present a personalized recommendation to you. Individual stocks presented may not be suitable for you. Investment in securities involves significant risk and has the potential for partial or complete loss of funds invested. Investment in fixed income securities has the potential for the investment return and principal value of an investment to fluctuate so that an investor's holdings, when redeemed, may be worth less than their original cost.

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Marketmail Archives Trade Summary

It should not be assumed that recommendations made in the future will be profitable or will equal the performance of the securities in this list. Click here to see the preceding 12 month trade report.

Although information in these reports has been obtained from and is based upon sources that Navellier believes to be reliable, Navellier does not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute Navellier's judgment as of the date the report was created and are subject to change without notice. These reports are for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of a security. Any decision to purchase securities mentioned in these reports must take into account existing public information on such securities or any registered prospectus.

Past performance is no indication of future results. Investment in securities involves significant risk and has the potential for partial or complete loss of funds invested. It should not be assumed that any securities recommendations made by Navellier. in the future will be profitable or equal the performance of securities made in this report.

Dividend payments are not guaranteed. The amount of a dividend payment, if any, can vary over time and issuers may reduce dividends paid on securities in the event of a recession or adverse event affecting a specific industry or issuer.

None of the stock information, data, and company information presented herein constitutes a recommendation by Navellier or a solicitation of any offer to buy or sell any securities. Any specific securities identified and described do not represent all of the securities purchased, sold, or recommended for advisory clients. The reader should not assume that investments in the securities identified and discussed were or will be profitable.

Information presented is general information that does not take into account your individual circumstances, financial situation, or needs, nor does it present a personalized recommendation to you. Individual stocks presented may not be suitable for you. Investment in securities involves significant risk and has the potential for partial or complete loss of funds invested. Investment in fixed income securities has the potential for the investment return and principal value of an investment to fluctuate so that an investor's holdings, when redeemed, may be worth less than their original cost.

One cannot invest directly in an index. Results presented include the reinvestment of all dividends and other earnings.

Past performance is no indication of future results.

FEDERAL TAX ADVICE DISCLAIMER: As required by U.S. Treasury Regulations, you are informed that, to the extent this presentation includes any federal tax advice, the presentation is not intended or written by Navellier to be used, and cannot be used, for the purpose of avoiding federal tax penalties. Navellier does not advise on any income tax requirements or issues. Use of any information presented by Navellier is for general information only and does not represent tax advice either express or implied. You are encouraged to seek professional tax advice for income tax questions and assistance.

IMPORTANT NEWSLETTER DISCLOSURE: The performance results for investment newsletters that are authored or edited by Louis Navellier, including Louis Navellier's Growth Investor, Louis Navellier's Breakthrough Stocks, Louis Navellier's Accelerated Profits, and Louis Navellier's Platinum Club, are not based on any actual securities trading, portfolio, or accounts, and the newsletters' reported performances should be considered mere "paper" or proforma performance results. Navellier & Associates, Inc. does not have any relation to or affiliation with the owner of these newsletters. There are material differences between Navellier & Associates' Investment Products and the InvestorPlace Media, LLC newsletter portfolios authored by Louis Navellier. The InvestorPlace Media, LLC newsletters and advertising materials authored by Louis Navellier typically contain performance claims that do not include transaction costs, advisory fees, or other fees a client may incur. As a result, newsletter performance should not be used to evaluate Navellier Investment Products. The owner of the newsletters is InvestorPlace Media, LLC and any questions concerning the newsletters, including any newsletter advertising or performance claims, should be referred to InvestorPlace Media, LLC at (800) 718-8289.

Please note that Navellier & Associates and the Navellier Private Client Group are managed completely independent of the newsletters owned and published by InvestorPlace Media, LLC and written and edited by Louis Navellier, and investment performance of the newsletters should in no way be considered indicative of potential future investment performance for any Navellier & Associates separately managed account portfolio. Potential investors should consult with their financial advisor before investing in any Navellier Investment Product.

Navellier claims compliance with Global Investment Performance Standards (GIPS). To receive a complete list and descriptions of Navellier's composites and/or a presentation that adheres to the GIPS standards, please contact Navellier or click here. It should not be assumed that any securities recommendations made by Navellier & Associates, Inc. in the future will be profitable or equal the performance of securities made in this report. Request here a list of recommendations made by Navellier & Associates, Inc. for the preceding twelve months, please contact Tim Hope at (775) 785-9416.

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