Research Excerpts

Utilities Outperform By 14% Since July
(a lookback on our July 17th posting)

Posted on: Tuesday, August 30th, 2011

The primary purpose of our blog is to stay in touch with professional investors that have previously expressed an interest in Asbury Research by focusing on some of our recent market analysis to demonstrate who we are at what we do, while occasionally offering a current investment idea that appears in our premium research.

In our July 17th blog posting entitled Weakening US Economy In Q3 2011? Here’s One Sector To Watch, we discussed what at that time was our expectations for upcoming relative outperformance by the Utilities Sector — which was based on our market call for a declining interest rate environment within a weakening US economy.

Between July 17th and August 19th the yield of the US 10-Year Treasury Note plummeted by 87 basis points to generational lows at 2.07%. During the same one-month period, as shown by the chart below, the Utilities Sector SPDR ETF outperformed the S&P 500 Depository Receipts ETF as expected, by +14%.

Understanding how identifying a trend in one asset can define an investment opportunity in another is an important part of what we do

Asbury Research Subscribers can view our entire July 14th Asbury Alert entitled, Declining US Interest Rates In Q3 And Their Potential Effect On Asset Prices by clicking the link and entering your login info.

Interested investors can learn more about our investment research right here on our website which includes sample reports, client testimonials, our 2010 market calls, and John Kosar’s recent appearances in the media.

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