Overweight Though it may be hard to see in the top panel of our chart amidst a spectacular long-term fall from grace, the S&P industrial conglomerates index has been outperforming for the past week. At first glance, much of the…
Highlights Portfolio Strategy Higher interest rates, with the Federal Reserve tightening monetary policy three more times in the next seven months, will be the dominant theme next year. All four of our high-conviction underweight…
Overweight An axiom we have noted numerous times is that, as oil prices decline, the share prices of airlines rise and vice versa. As such, the recent spike in airlines share prices (our upgrade of the S&P airlines index a…
Energy costs comprise a large chunk of the input costs for freight service firms. The recent drubbing oil suffered will boost margins for airfreight & logistics companies, especially as it materialized on the eve of the…
Overweight (High-conviction) Air freight & logistics stocks have been bouncing along the bottom for the better part of the past year and have formed a base that should serve as a launch board higher in the coming months. Energy…
Feature Asset Allocation Amid Late-Cycle Turbulence BCA today published its 2019 Outlook, Late-Cycle Turbulence,1 our annual discussion with long-time clients Mr X and his daughter, Ms X. Recommendations This note is simply to…
Given the downward pressure on input costs facing airline profits, our U.S. equity strategists have put airlines on upgrade alert and are cementing their gains of 18% from their underweight position. They have also increased…
Overweight The recent carnage in oil markets has breathed a huge sigh of relief into the S&P airlines index (most of which do not hedge fuels costs) as the collapse in WTI crude oil prices has also taken down kerosene…
Dear Client, Next week on November 26th instead of our regular weekly publication you will receive our flagship publication “The Bank Credit Analyst” with our annual investment outlook. Our regular publication service will…
Overweight General Electric, the former heavyweight of the S&P industrial conglomerates index, found some reprieve Tuesday on the news that they had agreed to divest part of their investment in Baker Hughes as part of an overall…