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In an ideal world, I would have finished my Special Report on the Crisis in Global Capitalism on my subscription site by now so I could place this sell–and the coming buy of a Treasury ETF–in the context of that crisis.

But this isn’t an ideal world.

That Special Report has taken way longer to finish than I expected–Global Capitalism, it turns out, is a big topic. Who knew? I do expect to finish and post the full Special Report on Monday on that site. Progress has been slow but there has been progress.

And the goal posts in the current trade war keep moving. China, Mexico, India today. Tomorrow Europe? Who knows. I don’t feel comfortable waiting any longer to make this move in my Perfect 5 ETF Portfolio on my and subscription sites.

One of the strangest things, to me anyway, about the current risk-off climate is that emerging markets have done relatively well so far this year. Until May 5, the IShares MSCI Emerging Markets ETF (EEM) was up 7.33% for 2019. That’s inspite of all the worries about a slowdown in the global economy.

That now looks to have changed. The ETF was down 1.19% for 2019 as of the close on May 31. That’s a very sizable 8.5 percentage point drop in this ETF and in emerging market stocks as a whole. And I think the drop could well get worse if trade tensions between the United States and whoever increase.

So I’m selling this ETF out of my Perfect 5 ETF Portfolio with a 10.78% loss since I added it to the portfolio on October 6, 2017. This ETF had, most recently, a 15% weighting in the portfolio.