There is a constant pressure in the markets which causes the fear whether certain economies if they will succeed when they have been written off. Certain hedge fund managers are not buying into the lackluster economies and feel like these specific economies will do very well. These economies include the US, euro zone, and China. The battered banks in Europe have seen a boost from all the cash influx recently in the market. Even with China slowing down in its fifth quarter in a row it’s not as bad as everyone makes it out to be.
Many hedge funds missed out on the rally in January. The S&P 500 rose nearly 4.81 points while hedge funds rose 2.6% in that same month. The cautious methods of trading in a hedge fund during the month were based on some of this really bad economic news. With this information behind us it’s time to move forward and these hedge funds feel like they can push the stocks higher. What this all entails is that risk is back. Many hedge funds that missed out last year just mistimed the gains they could have been made. Some funds are trying to get back in the game by snapping up derivatives and other means. Hedge funds aren’t like a penny stock millionaire, but do have the means to buy up tons of share at any given time.
Microsoft shares that hit a five-year high and analysts believe that we can come close to the performance of Apple. The increase in the tablet market and cloud computing have made Microsoft the big comeback story in 2011 and 2012. With the upcoming Windows 8 launch there’s a lot of expectations for Microsoft to succeed even further beyond where they are now. We’ll just have to keep a close eye on the stock and how is affected by news in the future. You knew it was only a matter of time till Microsoft made its comeback against Apple.