Yesterday I trimmed a few of the gains in our portfolios—maybe adding around 1-2% to our cash position yesterday.
I have written about having little to no cash for the last month or two–virtually everything was invested. A fully invested position was the correct move and it yielded lots of gains, but now I am targeting a cash position of 10% or so–with money market funds paying a decent amount the ‘pain’ of too much cash will not be nearly as bad as it was previously when the yield was zero.
Equity markets are looking red this morning, although probably just a limited number of issues contributing to the losses–like 3M which missed on revenue and income.
Interest rates are off a couple basis points this morning at 3.5%. We have the PMI manufacturing and services index release at 8:45 a.m. (central)–these shouldn’t move the market (but who knows for sure).
Lots of earnings coming out including the community and regional bankers. Bank OZK released late last week–the report is here. Customers Bancorp (CUBI) will release tomorrow.