Blogging From Home Not Helping Pharma

I am working at home today which is nice because I really don't like having to go to Phoenix, but that's where the paycheck is.

Anyway, the Bush lift for big American Drug Stocks didn't last too long did it? I made a comment yesterday about avoiding the group. I clearly had no knowledge about the Pfizer news today but this theme is very simple and very obvious. I have been truly shocked over the months at the number of managers and strategists I see and read that will tout the group.

If you have read this blog for a while you know the value I place on keep big picture analysis very simple.

The market seems to be struggling to find a direction today but what is very constructive is that it is not immediately giving back yesterday's gain. I am skeptical but hopeful. I do think that just like every other election year, I have been writing about this for months, the election is not the thing. The market can now go on trying to reconcile all the other issues in front of it.

Ben Pedley from CNBC Asia has been talking about a dollar selloff with a Bush win because he is so disliked around the world. That seems to be happening. That favors gold. As a quick refresher, gold is denominated in dollars. Everything else being equal as the dollar declines gold has to go up in price. Of course everything else being equal is quite empty because things don't work that way but in practical terms it will help the yellow metal. For that matter it will help any commodity that trades in dollars. Another asset class that would do well is foreign bonds. I access that part of the market for my clients through closed end bond funds. They are cheap, easy to trade and help create a nice counter strategy for your US holdings.