Valuation – Defensive Assets vs. Assets More Sensitive to the Economy Valuations suggest that we’re a long way from a return to normal times, as the market remains concerned about long-term growth. Image: Morgan Stanley…

Valuation – U.S. Stocks vs. Eurozone Stocks Will eurozone stocks outperform U.S. stocks in coronavirus recovery? Image: Gavekal, Macrobond

Euro Stoxx 50 and 200-Day Moving Average The Euro Stoxx 50 is testing its 200-day moving average, suggesting some resistance for further gains. Image: The Daily Shot

Fed Expansion as a Share of S&P 500 Market Capitalization Fed’s purchases are positive for the stock market, but as a share of S&P 500 market capitalization, they are less than during the 2008-2009 period.…

Operating Leverage Contribution and Earnings Rebound Morgan Stanley expects operating leverage to fuel an earnings rebound, through aggressive cost-cutting measures. Image: Morgan Stanley Research

Volatility – VIX Level and S&P 500 67-Day Return The speed of the rally could partly explain why the VIX remains high. Image: Goldman Sachs Global Investment Research

Emerging Market Equities vs. Developed Markets Equities Emerging market equities have underperformed their developed market counterparts. Image: Credit Suisse Research

Bloomberg Barclays U.S. Treasury Index Total Return U.S. Treasuries have recorded their strongest performance in the past seven years, thanks to Fed stimulus. Image: Morgan Stanley Research

U.S. ISM Manufacturing PMI vs. 10-Year U.S. Treasury Yields 10-year U.S. Treasury yields tend to move with the U.S. ISM Manufacturing PMI. Image: Credit Suisse Research

VIX Futures Bump Around U.S. Election Day Compared with prior cycles, implied volatility for the period around the U.S. election is very high, mainly because of the coronavirus. Image: Goldman Sachs Global Investment Research

Net U.S. Dollar Positioning When USD postioning is very light, USD tended to move higher. Image: J.P. Morgan