“If you have an approach that makes money, then money management can make the difference between success and failure… … I try to be conservative in my risk management. I want to make sure I’ll be around to play tomorrow. Risk control is essential.” – Monroe Trout

1. Conservative Mauricio Macri Wins Argentina Presidency — Argentina conservative opposition candidate Mauricio Macri has been confirmed as the winner in Argentina’s presidential elections, defeating the ruling Peronist party’s Daniel Scioli by a smaller margin than expected. Macri will have to deal with the difficult economic legacy of Cristina Fernandez de Kirchner, who with Nestor Kirchner, her late husband and predecessor, ruled Argentina for the past 12 years. Since taking over in 2007, Fernandez has seized pension fund assets and the nation’s largest energy company, while increasing welfare programs and battling U.S. hedge funds over defaulted debt.
2. Turkish Warplanes Shot Down a Russian Military Aircraft On the Border With Syria — Turkish Officials said the Su-24 jet was downed after it knowingly violated Turkish airspace and its two pilots ejected before it crashed. Russia has warned its former ally and trade partner that diplomatic and commercial relations between the countries are at risk, calling the downing “a stab in the back.” The incident also dims the prospects for a grand international coalition to change the course of chaos in Syria.
3. U.S. Probe into Wal-Mart Foreign Bribery Finds Possible Misconduct — WSJ reported A Justice Department probe has found evidence of possible misconduct by Wal-Mart (NYSE:WMT) in Brazil, after uncovering little to support sweeping allegations involving the company in Mexico, WSJ reports. Prosecutors have focused on $500K believed to have gone to an individual hired to secure government permits to construct two stores in Brasilia between 2009 and 2012. Investigators are now assessing whether Wal-Mart employees knew about or approved of the suspected payments.
4. China Battered as Brokerage Probe Sparks Selloff — Chinese equities dove sharply last Friday after the Chinese authorities disclosed investigations into several major brokerages over suspected trading violations. The probes into Citic, Guosen, Founder and Haitong Securities followed additional souring market sentiment that revealed lackluster Chinese industrial data in October. The Shanghai Composite Index fell 5.5% to 3,436, wiping out most of its gains this month and recording its biggest one day drop since Aug. 25.

The week ahead — Economic data from Econoday.com: