Median Policy Rate Projections in the Fed’s Summary of Economic Projections The anticipation of rate cuts in 2024 and beyond is generally viewed as bullish for equity markets, as it signals a potential easing of…
S&P 500 Free Cash Flow Despite a decline, the S&P 500 free cash flow remains higher than the historical trend, even during the current hiking cycle. Image: BofA Research Investment Committee
S&P 500 – Election Year Seasonality During election years, the S&P 500 tends to trend sideways in Q1. Investors are typically cautious about the potential outcomes of the upcoming elections and tend to adopt a…
Cyclical Sectors’ Relative Performance vs. Defensive Sectors Around the First Fed Cut After the first Fed interest rate cut, defensive stocks have historically shown stronger performance relative to cyclical stocks. Image: BofA US Equity &…
Market – Short Sellers Gains/Losses Market conditions and unexpected events have made short selling a difficult year, with over $145 billion in losses incurred. Image: CNBC
S&P 500 Total Return and Historical Inflation Peaks Historically, U.S. stocks have shown a tendency to increase when there is no recession following a peak in inflation. Image: Goldman Sachs Global Investment Research
Cumulative Inflows Across Asset Classes Cash is the flow winner in 2023. Will it serve as the driving force behind the bull markets of 2024? Image: BofA Global Investment Strategy
Average S&P 500 Returns by Election Cycle Year The dynamics and uncertainties of the electoral process often impact market performance in presidential election years, leading to a historical trend of weaker S&P 500 returns. Image:…
FMS Investors – What Is the Most Likely Source for a Systemic Credit Event? FMS investors view the China real estate as the biggest source of a systematic credit event due to excessive borrowing, with…
Total Return Performance Since First Fed Hike in March 2022 There has been a significant concentration of equity market returns following the first Fed hike in March 2022. This concentration should be considered by investors…
FMS Investors – Net % Say Global Profits Will Improve vs. ISM Manufacturing New Orders/Inventories There is a growing belief among FMS investors that global profits will improve in the future, which is encouraging. Image:…