Financials
Yesterday, BCA Research's US Investment Strategy service recommended that investors go overweight the largest banks in the US; BAC, C, JPM, USB and WFC. The uncertainty around loan losses remains extremely high. No one knows how long the economy will…
Highlights Banks have an unmatched perspective on the entire economy, … : BCA began by tracking money flows through the banking system to gain advance notice of the direction of markets and the economy. … so we review the five largest banks’ earnings…
Highlights Stay tactically neutral to equities. The market may meet some short-term resistance, especially as a slew of poor earnings are released in the coming weeks. The long-term threat to equities comes from the pandemic’s lasting after-effects, such…
Highlights The Fed has been awfully busy since the middle of March, … : Over the last 30 days, the Fed has unleashed a barrage of measures to support market liquidity and alleviate economic hardship. … unveiling a package of facilities to keep credit…
Highlights US Corporates: The Fed continues to expand the reach of its extraordinary monetary policies designed to combat the COVID-19 recession, now giving itself the ability to hold BB-rated US high-yield bonds within its corporate bond buying programs…
Yesterday, BCA Research's US Investment Strategy service continued its series of reports on How Vulnerable Are US Banks? Unused loan commitments have provoked much agitation among investors in recent weeks. A floundering company, desperately trying to stay…
Highlights The potential range of book value outcomes for large banks is enormous, … : Total credit losses will be a function of the virus’ persistence, the intensity and duration of the social distancing actions taken to combat it, and the efficacy of…
On Tuesday, BCA Research's Emerging Markets Strategy service concluded that the cyclical outlook for Brazilian bank stocks has worsened further due to the COVID-19 pandemic, despite the fact that valuations have improved. Brazilian banks have plunged 55% in…
Highlights Recommended Allocation
Quarterly Portfolio Outlook: Playing The Optionality…
Highlights Wells Fargo’s path, before and after deregulation, has been similar to every other SIFI bank’s: It began by serving a single area in a single state, expanded within the state, and then pieced together its regional and national footprint via…