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Special Report Highlights Dear Client, I'm on the road this week teaching the BCA Academy in Chicago. Instead of our regular Weekly Report, we are sending you a Special Report written by my colleague Juan Manuel Correa. His piece, "Riding the…
Highlights Risk assets continue to rise despite a flattening yield curve. Individual investors are more sanguine than institutional investors as stocks make new highs. The S&P 500 is testing the top of a key channel. Will it…
Highlights Portfolio Strategy A more balanced cable & satellite and movies & entertainment industry profit backdrop is signaling that only a neutral stance is warranted in both these media sub-indexes. Trim to neutral. These…
Highlights Based on long-term moving averages and the advance/decline line, the dollar selloff is still only a severe correction. These factors need to be monitored closely as they stand on the edge. To rebound, the dollar will need U.…
Special Report Feature Healthy consumer spending driving a booming sales environment, along with the operating leverage that high revenue growth produces, have been the key underpinnings of the nascent revival in the S&P 500 margin expansion. This…
Highlights A broad survey on various valuation ratios suggests that Chinese investable equities' exceptional cheapness in the past several years has essentially vanished. Valuation is no longer a compelling reason for staying…
Highlights The rise in the yen sparked by the verbal confrontation between the U.S. and North Korea is creating an opportunity to buy USD/JPY. The DXY is set to stabilize and may even rebound, removing a key support for the yen. The U…
Highlights Key Portfolio Updates Synchronized global economic growth is driving real yields higher and boosting equities (Chart 1). Meantime, core inflation remains muted which will ensure that Fed policy stays sufficiently…
Highlights EM growth is set to falter due to budding weakness in Asia's trade, a decline in commodities prices, and the frailty of EM banking systems. U.S./DM bond yields are heading higher for now and China's money/credit…
Dear client, This week, we are sending you an abbreviated Weekly Report as we co-authored a Special Report on Wednesday with our sister Geopolitical Strategy service. In our Special Report, available on our website, we argue that…