Highlights The global fight against the Delta variant of COVID-19 continued to show progress in the month of September, but not without cost. Growth in services activity slowed meaningfully, which has likely delayed the return to…
US Financials is among the best performing US equity sectors over the past three months. We expect these positive relative gains to continue. Financials will benefit from rising US bond yields over the coming year. Not only…
Market moves since the beginning of September have been characterized by a selloff in US Treasurys and a deterioration in US equity returns. The spectacular performance of US stocks thus far during the pandemic has stretched…
US energy stocks performed poorly earlier this year. They fell 14tween early March and late August. However, the tide seems to be turning in their favor. The energy sector is now leading the benchmark. It is up 12% since August…
BCA Research’s US Equity Strategy service recommends overweighting the Hotels, Resorts, and Cruise Lines industry. The team summarizes this view as follows: The Delta variant is cresting. Their base case is that herd…
Highlights Investment Grade: Investment grade corporate bond total returns will be close to zero or negative during the next 12 months. The bonds are also likely to outperform duration-matched Treasuries during that period, but excess…
The Evergrade debacle (see Country Focus) underscores the risks facing the global housing market. Ultra-low interest rates are fueling a surge in house prices across the world (see The Numbers). The rapid price increase is making…
Highlights Stocks tend to perform worse when unemployment is low. Since 1950, the S&P 500 has risen at an annualized pace of 12% when the unemployment rate was above its historic average compared to 6% when the unemployment rate was…
9 September 2021 at 10:00 EDT Emerging Markets Strategy/Webcast EM/China: See The Forest For The Trees 9 September 2021 at 21:00 EDT Emerging Markets Strategy/Webcast Emerging Asia: See The Forest For The Trees Highlights…
Highlights The equity risk premium has turned negative for the first time since 2002. It follows that any significant rise in bond yields will cause risk-asset prices to collapse, quickly flipping any incipient inflationary shock into…