Russell 2000 Trailing EV/EBITDA Multiples vs. Private Equity EBITDA Multiples This chart shows that private equity multiples are currently higher than public equity multiples. Image: Strategas
Russell 2000 Index/Russell 1000 Index Around First Fed Rate Cut: Recession vs. No Recession Another great chart suggesting no recession, when large caps outperform small caps, around first Fed rate cut. Image: Ned Davis Research
U.S. 10-Year Breakeven Inflation Rate vs. Russell 2000 Index Could this interesting correlation persist over time? Image: Hayek and Keynes
Median Index Returns Following First Fed Rate Cut Historically, midcaps have outperformed the S&P 500 and the Russell 2000 in the three and twelve months following the initial Federal Reserve rate cut. Image: Goldman Sachs Global Investment Research
Financials and Banking Exposure by Index The Russell 2000 has more exposure to financial stocks (18.5%) than the S&P 500 (10.5%). Image: J.P. Morgan Asset Management
Average Short Interest as a Percentage of Free Float for Top 25 Most Shorted Stocks Short-interest in most-bet against Russell 2000 stocks is declining, but remains high. Is more volatility coming? Image: Bloomberg
Market Capitalization – Top 5 Stocks as a Share of the Total Index The market capitalization of the five largest companies now accounts for 37% of the Russell 1000 Growth Index. Image: Goldman Sachs Global Investment Research
Stocks – Small Caps / Large Caps Since late March, the bull market has followed the typical recession playbook, with the Russell 2000 outperforming the S&P 500. Image: Morgan Stanley Research
S&P 500 Performance Before and After Recessions since 1970 U.S. equities peaked about six months before the recession began. Image: Russell Investments
China trade deal could spark a big rally, says Jeremy Siegel Jeremy Siegel is the Russell E. Palmer Professor of Finance at the Wharton School of the University of Pennsylvania in Philadelphia. He comments on China trade talks and the effects on the stock market. He’s worry that the dollar has been very strong. https://www.youtube.com/watch?v=_7Y1id-I88I
Economist Jeremy Siegel: Fed should think about lowering rates Jeremy Siegel is the Russell E. Palmer Professor of Finance at the Wharton School of the University of Pennsylvania in Philadelphia. He discusses his view on the Federal Reserve and the current 10-year rate.