This is the time of the year when strategists are busy sending out their annual outlooks. Here on the Global Investment Strategy team, we decided to go one step further. Rather than pontificating about what could happen in 2025, we…
Stocks are a forward discounting mechanism and routinely top before recessions begin, even if they typically do not swoon until the recession has taken hold. According to BCA Research’s US Investment Strategy service, if…
Neutral We remain neutral the S&P household products index. A V-shaped economic recovery following a recession has historically been synonymous with this defensive industry underperforming (top panel). However, the…
Frenetic trading continued unabated in the US equity markets with some bizarre moves now a daily phenomenon. One such occurrence is the positive correlation of the VIX with the SPX, which we had flagged as a negative omen in…
Highlights Portfolio Strategy We have identified 20 reasons to start buying equities. We highlight positive catalysts that should underpin the equity market as the pandemic progresses. Investors with higher risk tolerance should…
Overweight Household products stocks are in a V-shaped recovery since the early-2018 market peak and these safe haven stocks have more upside in times of tumult (middle panel) despite their pricey valuations (bottom panel…
Overweight Procter & Gamble (PG), the heavyweight of the S&P household products sector, delivered excellent results this week and raised their guidance, despite a forecast of a nearly $1 billion after-tax currency…
Household product stocks have typically performed well as retail gasoline prices have contracted; this iteration has proven no different. This boon to consumers has supported an uptick in spending on household products, which…
Overweight Household product stocks have typically performed well as retail gasoline prices have contracted; this iteration has proven no different (gasoline prices shown inverted, top panel). This boon to consumers has…
Overweight The S&P household products index got a solid lift last week on the back of upbeat earnings from sector heavyweight Procter & Gamble (PG), though this was also part of a greater rotation into consumer staples. PG…