This week, we are sending you a sector chart pack. In the front section of this publication, we briefly review October's performance and then switch our attention to the earnings season and outlook for the Magnificent Seven....
The October global manufacturing PMI printed at 49.4, up from 48.7 in September but still in contractionary territory. While output stabilized at 50.1, new orders (48.8) and new export orders (48.3) remain in contraction, as is the case for the new orders-to-inventories spread. This rebound is in li...
China’s Caixin Manufacturing PMI rebounded one point in October to 50.3. This was in line with the NBS PMIs from earlier this week, which also showed a modest rebound. We are looking for a turning point in China as the government unrolls stimulus measures. This Caixin rebound is not that turning poi...
As the odds of a Trump victory rise, European assets underperform US ones. What would be the immediate impact of a Trump victory on European stocks?...
Can Powell achieve a soft landing? There are some indications he is doing it. We examine why our negative stance was wrong and analyze the four growth engines that kept recession at bay. Half of these forces remain while the other half have run out of juice. While this might be enough to keep the ec...
EM credit markets have recently defied the selloffs in EM equities, currencies, local currency bonds, and commodity prices. Such a decoupling is unusual. Resilient US growth and Fed easing are not sufficient to justify very low EM credit spreads....
