Dear Client, There will be no report next week as we will be working on our Quarterly Strategy Outlook, which will be published the following week. In the meantime, please keep an eye out for BCA Research’s Annual Outlook,…
Over the past few weeks, we have received numerous questions on the interplay between the S&P 500 earnings and the forward P/E multiple. The clients are asking how much earnings need to grow for the S&P 500 forward multiple to…
October new home prices fell for the second consecutive month in China (see The Numbers). Given how highly leveraged the Chinese property sector is, a continued decline in home prices would be an unwelcome development for Chinese…
Highlights Geopolitical conflicts point to energy price spikes and could add to inflation surprises in the near term. However, US fiscal drag and China’s economic slowdown are both disinflationary risks to be aware of. …
Chart 1 In June of this year, we published a Special Report on EV Revolution, recommending clients to add exposure to the structural electric vehicles (EV) theme to their portfolios. We continue to be bullish about the space…
Highlights There is a high risk of a global demand shortfall in 2022. This is because consumer demand for services will remain well below its pre-pandemic trend… …while the recent booming demand for goods is crashing…
Highlights The bipartisan Infrastructure Investment and Jobs Act will increase US government non-defense spending to around 3% of GDP, a level comparable to the 1980s-90s and larger than the 2010s. Democrats are…
Highlights Rate Hikes Are Coming – O/W Banks And Small Caps: Rampant inflation is changing investor expectations on the timing and speed of rate hikes. At present, the market is pricing in three rate hikes in 2022. Overweight…