U.S. Presidential Cycle

U.S. Presidential Cycle During secular bull markets, the first term Presidential cycle suggests the S&P 500 Index at 3,740 into year-end. Image: BofA Global Research

S&P 500 Forward P/E Ratio

S&P 500 Forward P/E Ratio S&P 500 to 3,550? “Bull markets don’t die of old age” but the forward P/E ratio of the S&P 500 remains at high level. Image: Truist

S&P 500 Index vs. MSCI EAFE Index

S&P 500 Index vs. MSCI EAFE Index Largely due to structural headwinds, international stocks have underperformed U.S. stocks significantly in this bull market, over the last ten years. It could continue next year as well. Image: LPL Research

Dow Jones Transportation Average vs. S&P 500

Dow Jones Transportation Average vs. S&P 500 This interesting chart suggests that the Dow Jones Transportation Average underperforms in secular bull markets. Actually, the S&P 500 had higher returns when the Dow Jones Transportation Average experienced negative momentum. Image: Oppenheimer & Co.

10-Year Treasury minus 1-Year Treasury Yield Spread vs. S&P 500 Returns

10-Year Treasury minus 1-Year Treasury Yield Spread vs. S&P 500 Returns If history helps us to predict the future, the 10y-1y treasury yield spread suggests low returns ahead for U.S. stocks. After 10 years of a bull market, our stock market forecasting model also shows that the market follows a different path in 2019. Statistically,…

Proportion of S&P 500 Beating Earnings Estimate

Proportion of S&P 500 Beating Earnings Estimate The proportion of S&P 500 companies that beat on earnings remains well above the historical average, indicating sustained corporate strength and financial resilience, contributing to the overall bullish sentiment in the stock market. Image: Deutsche Bank Asset Allocation

S&P 500 and U.S. IPO Activity

S&P 500 and U.S. IPO Activity The increased IPO activity in the United States, combined with the positive trends in global markets, suggests a potentially bullish medium-term outlook for IPOs as market conditions continue to improve. Image: Topdown Charts