U.S. Tech Stocks Since April lows, tech stocks rebounded strongly on AI growth and solid earnings, but high valuations and margin pressures from ongoing AI infrastructure investments could lead to volatility in coming quarters. Image: Yahoo Finance
M2 Money Supply Growth U.S. money supply growth has robustly returned to near its long-term trend. In contrast, the euro area has experienced a slight slowdown in money supply growth recently, although growth rates remain positive. Image: Deutsche Bank
Risk Appetite Indicator Level and Momentum Factors The GS Risk Appetite Indicator’s current risk-on signal points to a constructive market environment, where investors are willing to take on risk in anticipation of sustained positive returns and economic stability. Image: Goldman Sachs Global Investment Research
S&P 500 Profit Margin – Operating Earnings/Sales Structural changes in the market—such as the rise of high-margin sectors like technology, economies of scale, and favorable financial conditions for large-cap firms—have driven elevated profit margins in the S&P 500. Image: J.P. Morgan Asset Management
S&P 500 Quarterly EPS Level Expectations U.S. equities face challenges as high valuations heighten the need for strong earnings and guidance. Disappointing results may pressure stock prices, risking recent gains unless corporate earnings justify these elevated valuations. Image: J.P. Morgan
Gold Seasonality Gold benefits from strong seasonal and technical momentum, supported by central bank demand, inflation concerns, and geopolitical risks, positioning it for a likely significant price breakout in the coming months. Image: Renaissance Macro Research
Equity Positioning Across Sectors The utilities sector continues to show robust positioning, maintaining its appeal as a defensive investment with reliable dividend yields and stable revenue streams. Image: Deutsche Bank Asset Allocation
Two-Year Rolling Change in the Fed Funds Rate Current rate cut expectations, as priced in by fed funds futures, are consistent with a recession scenario. However, market risk indicators and recent Fed communications suggest this may overestimate the pace of Fed rate cuts. Image: Deutsche Bank
S&P 500/MSCI World and U.S. Dollar Trade-Weighted Index The renewed relative strength and attractiveness of U.S. assets amid global uncertainty and monetary policy differentials have played a central role in driving the U.S. dollar’s recent rebound Image: Goldman Sachs Global Investment Research
S&P 500 Performance After 60 Days Above the 20-Day Moving Average The S&P 500, after closing above its 20-day moving average for 60 straight days, has historically maintained its upward momentum, with median 12-month gains of 16% and positive returns over 87% of the time. Image: Carson Investment Research
S&P 500 Equity Risk Premium and Yield Gap With the S&P 500 equity risk premium at historically low levels, the current investment landscape presents significant challenges for equity investors. Image: Goldman Sachs Global Investment Research