Overweight (High-Conviction) We have written frequently about trade tensions keeping a lid on trade-exposed sectors, with the S&P air freight index chief among them. As such, we have been anticipating a rally following the…
Overweight (High Conviction) Our attention in the last several months has been focused on rising trade tensions and the threat they present to our bullish cyclical equity bent. One sector that has seen a particular increase in…
Sentiment Is Taking Off Overweight (High Conviction) The S&P air freight index has been rebounding this month after being buffeted by the headwinds of a potential trade war. UPS has been the leader upwards after reporting…
Overweight (High Conviction) The S&P air freight index has been on a tear in recent months, after putting in a bottom earlier this year. It appears the market is valuing rising global trade driving a surge in revenues over a run up…
Overweight (High Conviction) U.S. manufacturers are rarely so excited about exports; the latest ISM manufacturing export subcomponent recently hit a three decade high. While the specter of a global trade spat is disconcerting, our…
Highlights Portfolio Strategy The reward/risk profile of air freight & logistics is extremely attractive. Synchronized global growth, the capex upcycle, a falling dollar and secular advance in e-commerce compel us to add this…
Overweight Since the beginning of February, the S&P air freight & logistics group has been waylaid by reports that Amazon was exploring its own logistics network. This is not new news; in fact, we wrote about this the last time…
The S&P air freight & logistics group was buffeted this week on reports that Amazon was testing its own delivery service from third-party sellers. The company's interest in operating their own logistics is hardly new news;…
We raised the S&P air freight & logistics group to overweight earlier this year based principally on the index being a chief beneficiary should green shoots in global trade proliferate. Since then, global export expectations…
We raised the S&P air freight & logistics group to overweight two months ago, because the budding revival in global trade was not reflected in either valuations or earnings estimates. Looking ahead, firming profit…