Valuation – Price-to-Forward Earnings Ratios The U.S. stock market maintains a premium valuation compared to global markets, with the exception of India, leaving little room for error as it’s priced for perfection. Image: Goldman Sachs Global Investment Research
Equity Sectoral and Regional ETF Flows Materials, energy and healthcare ETFs are still experiencing notable outflows, leading to a decrease in investor interest. Image: J.P. Morgan
Valuation – S&P 500’s CAPE Ratio and U.S. GDP Growth The S&P 500’s CAPE ratio is currently high relative to U.S. GDP growth, potentially indicating lower expected returns in the future. Image: Deutsche Bank
ISABELNET Cartoon of the Day With Bitcoin surpassing $100,000, bulls are so long on Bitcoin, they’re flying to the moon and beyond, leaving bears in despair! Have a Great Day, Everyone! 😎
Nasdaq 100 – Consecutive Trading Sessions Above 200-Day Moving Average The Nasdaq 100 has been trading above its 200-day moving average for 467 consecutive sessions, indicating a strong bullish trend that reflects sustained investor confidence and momentum in technology stocks. Image: Bloomberg
Fed Funds Futures Markets are still pricing in Fed rate cuts for 2025, but expectations have been scaled back due to persistent inflation concerns. Image: Deutsche Bank
Market Sentiment Indicator Morgan Stanley’s market sentiment indicator has recently turned positive, signaling a shift towards a risk-on appetite after maintaining a neutral stance. Image: Morgan Stanley Research
Stocks – GRANOLAS vs. Magnificence Seven Driven by remarkable growth in the technology and AI sectors, the performance gap between the Magnificent Seven and the GRANOLAS has widened significantly since the start of 2024. Image: Goldman Sachs Global Investment Research
Two-Month Correlation Between Bloomberg U.S. Treasury Index and S&P 500 Index The current positive correlation between stocks and bonds emphasizes the need for investors to diversify beyond traditional assets and adopt more sophisticated risk management strategies. Image: Morgan Stanley Wealth Management
S&P 500 Based on the Chinese Zodiac Signs While it is not advisable to invest solely based on zodiac signs, the year of the Snake has historically been one of the worst for U.S. stocks. Since 1950, Snake years have seen an average increase in stock value of only 0.8%. Image: Carson Investment Research
ISABELNET Cartoon of the Day Canada is not for sale – it’s a country, not a clearance item at a department store! And its price tag reads: “Priceless – and not negotiable!”