Japanese real GDP grew at an annualized pace of 6% year-on-year in Q2. Reading the tea leaves from the release, public investment rose by 5% quarter-on-quarter annualized, while residential investment jumped by a whopping 7.7%.…
High-Yield municipal bonds have performed well in recent years, but valuations are now stretched. We recommend an underweight allocation, though we prefer high-yield munis over high-yield corporate bonds.
According to BCA Research’s US Equity Strategy service, the outperformance of Growth sectors most likely has run its course. The team has opened an overweight in Growth vs. Value in April. Since then, the trade is…
BCA Research's US Investment Strategy service’s yearlong recommendation to overweight equities was founded on its high-conviction view that investors were underestimating American consumers’ resources and resolve…
In a recently published report, BCA’s Bank Credit Analyst service reviewed the BCA Valuation Index, alongside three other US equity indicators which are published in Section III of each month’s report. The other…
Sweden’s preliminary Flash GDP data, which is subject to revisions, points a 1.5% quarter-over-quarter and 2.4% year-over-year contraction. However, this report could potentially constitute the trough in the country’s…
Outperformance of Growth sectors most likely has run its course. It is time to shift Growth vs. Value allocation to neutral, downgrade Semis, and upgrade Energy to overweight.
European real GDP growth is stabilizing, so why would European equities continue to trade sideways for the remainder of the year? The answer lies with nominal growth and its impact on earnings.
Inspired by a client’s questions, we examine the rationale behind the implementation of the trailing stop governing our near-term asset allocation recommendations.
According to BCA Research’s Emerging Markets Strategy service, the gap that has formed between the S&P 500 price and its operating profit margins, as well as the divergence between the S&P 500 Forward P/E ratio and…