In this Strategy Outlook, we present the major investment themes and views we see playing out for the rest of 2023 and beyond.
Tech stocks have recently been bearing the brunt of the US equity selloff. The Information Technology and Consumer Discretionary sectors – home to major H1 outperformers including Nvidia, Microsoft, Apple, Amazon, and Tesla…
According to BCA Research’s European Investment Strategy service, energy stocks are an appealing overweight as a hedge against oil supply cuts. For now, the earnings of the energy sector continue to lag that of the broad…
Bulls and bears have capitulated, and the majority of the clients surveyed expect a rangebound market in the near term. Our fair value PE NTM indicates that the S&P 500 is only modestly overvalued. The continued outperformance…
European stocks and the euro continue to weaken; soon, they will test the bottom of their recent trading range. Which sectors can protect investors against this downdraft?
The biggest misunderstanding in the markets right now is that to keep expected inflation well-anchored at 2 percent, inflation must undershoot 2 percent for some time. This implies that interest rate futures curves are mispriced, and…
China’s reopening faltered and now it is applying moderate stimulus. OPEC 2.0’s production discipline is getting results, with oil prices climbing. The Fed will not be able to deliver dovish surprises in Q4 2023. Investors should…
Over the past few months a schism has emerged in the industrial metals complex. On the one hand, the Bloomberg Industrial Metals Index – which is composed of futures contracts on copper, aluminum, zinc, nickel, and lead…
The German auto and components sector is under stress. Year-to-date, the sector’s equity prices have declined by 3.5% relative to the broader German market, and multiple indicators suggest that further challenges lie ahead…
After a steady rebound in the first half of the year, the US NAHB Housing Market Index’s 5-point decline to 45 in September was a disappointment to consensus estimates of a 1-point decrease. It marks the second consecutive…