Valuation – Mega-Cap U.S. Tech Stocks (FAAMG) vs. MSCI World ex-US Could mega-cap U.S. stocks be in a bubble? Over the past 6 years, prices have increased five-fold, while earnings have only doubled. Image: Gavekal, Macrobond
Investors and Average Cash Balance Cash is up 4.9% from 4.7%, as investors remain cautious on coronavirus, election and macro. Image: BofA Global Fund Manager Survey
FMS Investors and Stock Market Valuation Is the stock market overvalued? Large number of FMS investors still think stock market is “overvalued” at 71%. Image: BofA Global Fund Manager Survey
Major Pullbacks since the Financial Crisis This chart puts into perspective major pullbacks since the financial crisis. Image: J.P. Morgan Asset Management
VIX vs. IG Credit Spread and S&P 500 This chart shows that the VIX has realigned with the IG credit spread, but not with the S&P 500. Image: Deutsche Bank
Oil Price vs. Global Trade Price Index Oil prices tend to drive prices for all traded goods. Image: Goldman Sachs Global Investment Research
Performance – FANG+ Index vs. S&P 500 and U.S. Banks The FANG+ index climbs higher, while banks slump again over fears of job losses and bad loans. Image: J.P. Morgan
Gold to Oil Ratio 1860-2020 The gold to oil ratio has reached the highest levels on record. Is oil a buying opportunity? Image: Goehring & Rozencwajg
Valuation – Nasdaq Internet Forward P/E vs. Total Fed Assets Chart suggesting the close relationship between the Nasdaq Internet forward P/E and total Fed assets. Image: Lohman Econometrics
Performance – S&P 500 Tech vs. S&P 500 Banks Total Return Relative Tech stocks have weathered the coronavirus panic. The outperformance of tech vs. banks is the biggest since the dotcom bubble and the Global Financial Crisis. Image: BofA Global Investment Strategy
Gold Price and Forecast 5-Year Real Rates Goldman Sachs expects U.S. real rates to continue to fall, and raised its 12-month forecast on gold to $2000/toz. Image: Goldman Sachs Global Investment Research