Global Equities Are Pricing In A Global Recovery

Global Equities Are Pricing In A Global Recovery This chart shows that global equities tend to move ahead of changes in world trade volumes, with a two-month lag.  Global equities are pricing in a global recovery, not global trade wars. Picture source: Absolute Strategy Research

Global Equity – Global Bond Fund Flows

Global Equity – Global Bond Fund Flows In the past two weeks, investors have shifted from bonds to equities. Picture source: BofA Merrill Lynch Global Investment Strategy

Who Is Buying U.S. Equities?

Who Is Buying U.S. Equities? The only buyer of US equities remains corporates, not households and institutions. Picture source: BofA Merrill Lynch Global Investment Strategy

U.S. Equities at 70-Year Highs vs. European Equities

U.S. Equities at 70-Year Highs vs. European Equities Are European stocks more attractive than U.S. stocks? Currently, the euro area economy is more impacted by the global slowdown than the U.S. economy. And investors also think that the euro area economy is less resilient than the U.S. economy in the event of a shock. Picture source:…

U.S. Equities and The World: Earnings Growth vs. Multiple Expansion

U.S. Equities and The World: Earnings Growth vs. Multiple Expansion Since the 2009 low, the strong performance of the U.S. markets comes from earnings growth (73%) and multiple expansion (27%). You may also like “S&P 500 Return: Earnings Growth vs. Multiple Expansion.” Picture source: Goldman Sachs Global Investment Research

Emerging Markets Equities Around First Rate Cut

Emerging Markets Equities Around First Rate Cut Emerging markets equities rallied 12% and 29% around the first rate cuts of 2001 and 2007. Picture source: BofA Merrill Lynch Global Research

Global Equity Fund Flows

Global Equity Fund Flows This great chart from Deutsche Bank shows that equity outflows over the last 6 months are now the largest on record. In 2011 and 2016, it was similar and equities rose significantly. Picture source: Deutsche Bank