Primary drivers in the market last week included the signing of the American Recovery Act, exceptional progress on vaccine distribution, and a supportive calendar of economic reports. All three large cap U.S. indices (S&P, DJIA, NASDAQ) set new record highs while small caps surged over 7%. Gains were broad based with value/cyclicals continuing to lead […]
The holiday shortened week saw encouraging economic prospects translate to a textbook, pro-cyclical moves across markets as evidenced by rallies in cyclical areas of the stock market, commodities, and bond yields. The economic calendar provided a boost with robust retail sales, continued strength in the housing market, and further evidence of a strong manufacturing sector. […]
Rates moved both higher and steeper again last week. Curve steepening has been pronounced with the 2-10 at 1.30% and the 3m-10 at 1.40%. While bonds are oversold in the short term, the long-term trend line should eventually take yields up to the 2.0%-2.5% area. • We saw some very bizarre US Treasury rate action […]
The week ending February 5th saw global equity markets rally sharply, a steepening yield curve, and a strong bid for USDs and commodities. Market focus last week was the peak of the fourth quarter earnings season and a pretty heavy economic calendar. The S&P 500 (+4.65%) and R2000 (+7.7%) both returned to record high territory, […]
The holiday shortened Thanksgiving week began with a third consecutive Monday morning booster shot (AstraZeneca) which sustained throughout the week leaving the S&P 500 with a healthy 2.3% gain. U.S. small cap, developed, and emerging market equities again outperformed U.S. large caps. The ‘risk-on’ trade took cyclical parts of the market higher with banks, energy, […]
Good news on the vaccine front last week put a positive charge into equity markets which after an up and down week left the S&P 500 at a new record high. Uncertainties of CoVid fiscal relief and a December 11th government funding deadline chipped away at Monday’s exuberance – the safe bet is that we’ll […]
Equity markets surged (6%-7%) to their best showing since April last week as election outcomes began to materialize. With Senate outcomes still in limbo, markets cheered what looks like a gridlock scenario with Vice President Joe Biden taking the White House and market friendly policy compromises thanks to mixed Congressional power. Healthcare and technology led […]
Global equity indices marked new record highs last week, capping off what has truly been one of the most remarkable market round trips in history. The Bloomberg World Equity Index fell over 30% in a month last spring and went on to rally 45% over the following five months. The S&P 500 came within a […]
Last week, equity markets bolted on to some already pretty gaudy results of the past several weeks, coming within 1% of February’s record high on an intraday basis. The first full week of August felt pretty bullish with all U.S. equity classes and sectors posting healthy gains and only Brazil was left out of the […]
Equity markets closed out July on a strong note with the S&P 500 up 1.7% while international and emerging markets were down. European stocks fell 3% on the week. Mega cap growth stocks plowed through Congressional interrogations and posted strong earnings to lead markets higher but cyclical areas of the market (energy, materials, financials) lagged. […]