Category: Blog

Performance of 50% Nasdaq + 50% Russell 2000 vs. S&P 500 Index Will the divergence continue to widen? Image: J.P. Morgan

S&P 500 – 1940’s Reflation Analog If inflation rises a little and real rates go lower, it could be bullish for stocks. Image: Fidelity Investments

Equity Risk Premium – S&P 500 Cyclically-Adjusted Earnings Yield and 10-Year Treasury Yield The equity risk premium suggests that U.S. equities remain attractive relative to bonds. Image: Alpine Macro

USA vs. Global Ex-U.S. Equities (Relative Performance) The U.S. stock market has significantly outperformed the rest of the world over the past decade. How long can the divergence continue? Image: Topdown Charts

Coronavirus – Number of People Hospitalized with COVID-19 in the United States The falling number of Americans hospitalized with COVID-19 is good news. Image: Statista

Effect of Fiscal Spending on Level of GDP The impact of fiscal stimulus on the level of U.S. GDP is expected to peak in Q2 2021 and then decline. Image: Goldman Sachs Global Investment Research

CTAs’ Net Position in CMX Copper Futures vs. the CMX Copper Futures Price CTAs’ net long positions in copper are very bullish. Image: Nomura

U.S. Recessionary Manufacturing Activity U.S. manufacturing sectors are improving, with less than 50% of them in contraction. Image: Oxford Economics

Passive vs. Active Investing – Single Stocks vs. Equity ETFs More passive investing amid COVID, as BofA clients have bought ETFs almost 90% of the time over the last 50 weeks. Image: BofA Securities

U.S. 10-Year Treasury Yield and Fed: Months to Hike Should investors expect higher U.S. 10-year Treasury yields over the coming months? Image: Alpine Macro

FMS Investors and U.S. Equity Market 53% of FMS investors think the U.S. equity market is in a late-stage bull market, while only 13% think the U.S. equity market is in a bubble. Image: BofA Global Fund Manager Survey