Valuation – Real Assets vs. Financial Assets

Valuation – Real Assets vs. Financial Assets The price of real assets relative to financial assets is at all-time lows since 1925. Should investors own more precious metals and real estate? Image: BofA Global Research

Loan Demand

Loan Demand Demand for commercial & industrial (C&I) and commercial real estate (CRE) loans remains weak, which does not bode well for a soft landing. Image: BofA Global Research

U.S. Housing Starts and New One Family Houses

U.S. Housing Starts and New One Family Houses Housing starts declined 0.5% in November. Usually, a continued downturn may signal a contraction of the economy. And historically, a decline in residential real estate has led several recessions. But housing is already in a slump and shouldn’t cause a recession.

S&P 500 GICs Level 1 Sector Weekly Relative Rotation Graph

S&P 500 GICs Level 1 Sector Weekly Relative Rotation Graph Technology and discretionary are weakening. Industrials and materials are leading. Financials, utilities, staples, health care and real estate are improving. Energy and communication services are lagging. Image= BofA Global Research