Category: Blog

Bubble – Nasdaq Composite Index and Federal Funds Target Rate If the Fed allows an asset price bubble, the consequences are severe and long-lasting when it burst. Image: Bloomberg

Weekly Financial Flows Financials are getting more attention from investors, as flows into the financial sector have been the largest since November 2016. Image: BofA Global Investment Strategy

S&P 500 and >11% Above 50-Day Moving Average Short-term overbought, but historically, >11% above 50-day moving average has been bullish. Image: LPL Research

Russell 3000 Growth vs. Value – Percentage of Index Represented by Ten Largest Companies The gap between the Russell 3000 Growth Index and the Russell 3000 Value Index (% of ten largest companies) is widening. Image: Strategas Research Partners

Individual Investors and U.S. Online Brokers Retail Trades The lockdowns and the move to zero commissions in October boosted individual investor trades. Image: Goldman Sachs Global Investment Research

U.S. Corporate Debt Is U.S. corporate debt in serious trouble, approaching 50% of GDP? Image: The Daily Shot

World GDP – OECD Global Economic Outlook According to the OECD, the coronavirus crisis means no V-shaped recovery, as the consequences will be severe and long-lasting. Image: Organisation for Economic Co-operation & Development

S&P 500 Growth vs. S&P 500 Value Since 1995 Growth has outperformed value by a large margin since the GFC. As long as growth is scarce, growth companies should thrive. Image: Financial Times

S&P 500 Performance Around Equity Bear Market End (Data Since 1983) The rally since March low has been the strongest equity recovery since 1983. Image: Goldman Sachs Global Investment Research

VIX (Volatility) and Implied Equity Risk Premium The risk of a correction is rising, as the implied equity risk premium is now below what the VIX would suggest. Image: Fidelity Investments

Share of U.S. Zombie Companies The cost of extended monetary easing: low interest rates have created zombie firms. Image: Deutsche Bank Global Research