What’s In Store For Act IV
The five largest stocks in the S&P 500 (Apple, Amazon, Microsoft, Alphabet, and Facebook) have collectively added $1.66 trillion in market cap this year. The other 495 stocks in the index have lost $1.61 trillion in market cap! The average share price increase...The Dominance of Growth Stocks Likely to Continue
In our last commentary, we noted the rebound in economic output was giving investors hope and largely accounted for the rally in stocks off the March low. We also wrote of the risk of a resurgence of the virus which is now happening in a handful of states. The...The Massive Melt-Up Rally
Once again, investor sentiment proved to be a good contrary indicator. At the depths of the market crash (late March), sentiment was overwhelmingly bearish. Since then, the market has had an amazing run (see main section). As people turned more positive on stocks,...The Federal Reserve Versus Valuations
“Unprecedented” feels like an overused word these days, but it is no overstatement when it comes to the oil market. In the March mid-month commentary, we wrote that the oil supply glut could throw another gut punch to our economy on top of the coronavirus. Our worst...