Developed Countries
US equity market moves have recently shifted in favor of small caps. After underperforming the S&P 500 by 16% between the start of March and beginning of June, the S&P 600’s recent 6% gain is greater than its large-cap counterpart’s 2.8% increase. …
According to BCA Research’s US Political Strategy service, if Trump is imprisoned, the odds of Republican policy enactment will rise, not fall, on the margin. If he is not imprisoned, then the opposite will occur. Prior to the federal indictment Trump led…
In response to the first-ever federal indictment of a former President, investors should focus on the state of the economy and not on Trump’s legal trouble. They should also use the current market rally to stock up on protection, as a recession is still likely, albeit delayed.
Results of the New York Fed’s Survey of Consumer Expectations sent a positive signal about short-term inflation expectations. Median one-year-ahead inflation expectations dropped by 0.3 percentage point to a two-year low of 4.1% in May. Moreover, median…
Investors and policymakers went on high alert after two large-cap banks, Silicon Valley Bank and Signature Bank, failed in a 48-hour span in early March. Google searches for “banking crisis” exploded in the two full weeks following the high-profile failures,…
According to the Exposure Index compiled by the National Association of Active Investment Managers (NAAIM), active risk managers are increasing their net exposure to equities. The range of responses to the weekly survey include 200% leveraged long,…
According to BCA Research’s European Investment Strategy service, the Dutch market will be the main European beneficiary of expanding spending on AI. The crucial factor constraining the deployment and expansion of AI is its voracious appetite for computing…
The AI revolution is having a large impact on many US stocks but European equities have not enjoyed the same benefits. Is Europe really devoid of AI plays?
As we’ve highlighted in recent Insights, the S&P 500’s year-to-date rally has been concentrated among a few mega cap stocks. In particular, companies that benefit from the AI craze have driven the gains. This dynamic is also reflected in the sector…
Investor sentiment has improved meaningfully in recent weeks. According to the latest AAII survey, the share of respondents with a bullish outlook jumped from 29.1% to 44.5%. It crossed above the historical average of 37.5% for the first time since February…