The market narrative continues to be dominated by the Magnificent Six, which drove both market performance and strong Q4 earnings results. While all sectors and styles have recently turned green, the rally is still mostly narrow.…
According to BCA Research’s European Investment Strategy service, the underperformance of European assets relative to the US is due its lagging productivity, even after adjusting for sectoral compositions in their stock…
The global equity rally – which fizzled at the start of the year – picked up steam again in February with nearly all major regions posting above average returns. After having underperformed last year, Chinese stocks…
The MSCI ACW Growth index continues to strengthen vis-à-vis the Value index, outperforming the latter by 4.7 percentage points year-to-date, following 23.3 percentage points in 2023. Given that the IT, Consumer…
MacroQuant upgraded equities to overweight in February on a tactical short-term (1-to-3 month) horizon, but it continues to see downside risks to stocks on a medium-term (12-month) horizon. Consistent with the model’s relatively…
Reported earnings for Q4-2023 were rather underwhelming and prone to issues that we have identified over the past few months: Growth is concentrated in just a few sectors and companies, while the profitability of a broad swath of the…
In a recent Insight we looked at the performance of equities following the start of monetary easing cycles. Specifically, we looked at the historical performance of US cyclical sectors versus defensive sectors at various points…
We created a sector selection scorecard based on performance of sectors under various macroeconomic regimes while taking into consideration revisions to expected earnings growth and valuations in a historical context. Our total…