At the end of June, the six month performance spread between the cap-weighted S&P 500 and equal-weighted S&P 500 was the highest in over 20 years, going back to March 2000. If an investor didn’t have heavy exposure to the Mag-7, their portfolio went nowhere...
Stocks remain in an uptrend whether you look at short-term or long-term indicators. We will focus here on the longer-term, the 200-day moving average. As shown in the graph below, the S&P 500’s 200-day continues to make another leg higher and has yet to roll...
We got a favorable CPI print for May last week. Core CPI decelerated to the slowest monthly pace in almost three years. Core CPI ex-rent dropped month-over-month and is now below a 1% annual rate of change on both a three month and 12 month basis. This was arguably...
Barron’s Big Money Poll is a must read for us. Large institutional money managers are an important source of demand for equity shares. So the poll gives us insight into what a key group of investors are thinking and doing. They make up part of Wall Street’s...
Although not even close to correction territory, the market has been acting heavier and heavier. Here is part of the reason why: The huge AI theme may be the market’s spinach, but the three-headed monster of higher oil prices, interest rates, and the U.S. dollar have...
The U.S. stock market is overbought in the short-term and a near-term pullback can never be ruled out, especially in mega-cap tech land. Regarding the Fed, the late December 2023 pivot has helped, but this rally is about much more than the Fed (we suspect...
