Equities

Downgrading The US Within A Global Equity Portfolio

The consensus among BCA's strategists remains overweight equities and neutral across bonds and cash on a 12-month horizon. Within equities, the US moves to underweight relative to MSCI ACWI on a 12-month view; on a 3-month horizon, we remain overweight.…

2 weeks ago

Asset Allocation Equities Fixed Income

Essentials

Can Resources Carry Canada Through A Bank Reckoning?

Canadian equities have corrected despite rising commodity prices, as weakness in Energy, Materials and IT has outweighed gains in banks. Energy stocks entered the month with stretched valuations following a strong earnings season, leaving the sector…

2 weeks ago

Canada Equities Sectors

Essentials

Cracks In Europe’s Resilience?

Falling Euro Area consumer confidence and greater energy exposure favor US over European equities near-term. Euro Area consumer confidence fell in September, ending a four-month upswing. The European Commission's flash index dropped 1 percentage point (p.p.)…

2 weeks ago

Europe Consumer Equities

Essentials

Taiwan’s Export Strength Flows Upstream

Taiwan’s tech export orders suggest that the global AI investment cycle remains strong, favoring Japan and upstream AI stocks linked to the buildout. Orders are near all-time highs, while the stable inventory-to-shipments ratio indicates that production has…

2 weeks ago

AI Equities Taiwan

Essentials

Financial Conditions Catch Up With Small Caps

US small caps are coming under pressure. The S&P 600 has fallen below its 50-day moving average after outperforming since late 2025, following roughly five years of substantial underperformance versus the S&P 500. The 200-day moving average is likely the next…

2 weeks ago

US Equities Market Capitalization: Large / Small

Essentials

The Next Test For The Bull Market

Higher bond yields are becoming a more important risk for equity markets, but the implications depend on whether Fed tightening remains mild or develops into a genuine hiking cycle. At our September Views meeting, our US Bond strategists outlined two…

3 weeks ago

Asset Allocation Equities Fixed Income

Portfolio

The Great Glow Up: Betting On The Beauty Economy

Special Report

The rise of remote work, online dating, and other demographic changes are increasing the demand for aesthetics. GLP-1s provide an effective and inexpensive cure for obesity, and their secondary effect “Ozempic face” has structurally altered the demand for aesthetic procedures and skincare. Long GLP-1 producers, biostimulator injectable producers, and K-Beauty contract manufacturers.

3 weeks ago

Growth Equity Health Care Consumer Discretionary

Essentials

Canadian Banks Have Outrun The Curve

Canadian banks are overdue for a correction as stretched valuations, a weakening housing market and fading support from the yield curve create growing downside risks. Bank equities have continued to surge even as the 2-year/10-year spread has stopped…

3 weeks ago

Canada Equities Banks

Essentials

The Three-Headed Threats To Equity Valuations

Our US Equity strategists remain constructive on US equities but see the path to their 8100 year-end target as increasingly dependent on earnings, with less scope for multiple expansion to contribute. Higher yields, slower EPS growth and heavy IPO issuance…

3 weeks ago

Equities US Earnings

Equities

Cerberus Paribus: The Three-Headed Threat To Equity Valuations (Bonds, Earnings, and IPOs)

We remain constructive on US equities, but higher yields, slower EPS growth and heavy IPO issuance remain significant risks to valuations, leaving the path to our year-end target increasingly dependent on earnings. Tactically, there has already been a significant, but benign, compression in multiples, as earnings have outpaced prices. A well-communicated Fed hike could ease rather than intensify bond-market uncertainty.

3 weeks ago

Bonds Earnings IPOs

Equities

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