Small-Caps: Upper End of Long-Term Range The combination of historical patterns, attractive valuations, and positive earnings growth forecasts suggests that U.S. small-caps may be well-positioned for a period of outperformance in the near future. Image:…

Gold Consecutives Weekly Gains A perfect storm of factors—including inflation worries, robust central bank purchases, geopolitical uncertainties, and favorable monetary policies—has propelled gold prices upward for eight consecutive weeks. Image: The Daily Shot

Fed Balance Sheet Goldman Sachs predicts the Fed will slow its balance sheet reduction in June 2025 and end quantitative tightening by September, which could influence market liquidity and interest rates. Image: Goldman Sachs Global…

U.S. Household Equity Ownership vs. S&P 500 Valuations Despite positive economic indicators and strong investor sentiment supporting the current market, the high levels of household equity allocation present risks that could trigger corrections and impact…

S&P 500 Performance When Higher in January and February When the S&P 500 finishes higher in both January and February, the rest of the year tends to be positive 93.1% of the time, with an…

Magnificent Seven Stocks – Change in Number of Hedge Fund Owners During the fourth quarter of 2024, hedge funds reduced their exposure to the “Magnificent Seven” stocks as the weight of these stocks in portfolios…

ISABELNET Cartoon of the Day Bears hate a strong February, as it is often viewed as a bullish indicator for U.S. stocks. Historically, when the S&P 500 rises in both January and February, it has…

Cumulative Effect of AI Adoption on Productivity Growth The global adoption of AI is expected to significantly boost labor productivity and drive economic growth, potentially leading to substantial increases in GDP. Image: Goldman Sachs Global…

U.S. GDP Consensus Forecast The U.S. exceptionalism narrative appears fragile. With expectations already high, there’s little room for positive surprises, and weaker economic data could hurt the dollar due to investors’ skewed positioning. Image: TS…

U.S. Stock Market – Margin Debt and Free Cash Balances The record surge in margin debt reflects heightened risk-taking among investors. If retail enthusiasm persists, this trend may continue, but elevated margin debt levels could…

ISABELNET Cartoon of the Day The S&P 500 may be breaking records, but bears are still singing the same old blues. Meanwhile, bulls are riding the market like there’s no tomorrow, which ironically, is what…