S&P 500 Annual Performance Based How the Santa Claus Rally Does

S&P 500 Annual Performance Based How the Santa Claus Rally Does The Santa Claus rally historically signals positive market momentum during the holiday season, which could extend into the following year and potentially lead to further gains, making it a positive sign for the full year. Image: Carson Investment Research

Market Pricing of Fed Cuts vs. Real 10-Year U.S. Treasury Yield

Market Pricing of Fed Cuts vs. Real 10-Year U.S. Treasury Yield When the market expects the Federal Reserve to cut interest rates, it often leads to lower real yields, as investors adjust their expectations. Image: Goldman Sachs Global Investment Research

S&P 500 Realized Volatility During Recession

S&P 500 Realized Volatility During Recession During recessions, there is often increased uncertainty and risk aversion among investors, which can lead to higher levels of volatility in the U.S. stock market. Image: BofA Global Research

S&P 500 Stocks and Non-S&P 500 Stocks as a % of U.S. Large Cap Funds AUM

S&P 500 Stocks and Non-S&P 500 Stocks as a % of U.S. Large Cap Funds AUM Despite the abundance of stocks, the lack of interest in investing beyond the “Magnificent Seven” creates bias, leading to excessive attention and favoritism that may undervalue or neglect other investment opportunities. Image: BofA US Equity & Quant Strategy

Importance of Macro Driver in Explaining Returns

Importance of Macro Driver in Explaining Returns Higher real 10-year UST yields can potentially lead to a decrease in U.S. stock returns, but other factors should also be considered. Image: Goldman Sachs Global Investment Research

Rolling 24 Month Correlation Between U.S. Bonds and Equities

Rolling 24 Month Correlation Between U.S. Treasury Bonds and Equities In an inflationary world, U.S. Treasury bonds aren’t effective hedges against U.S. stocks due to inflation eroding bond payouts and rising interest rates leading to bond price declines. Image: BofA Research Investment Committee

Forward S&P 500 Return Following Break in 200-DMA

Forward S&P 500 Return Following Break in 200-DMA Staying above the 200-day moving average may provide higher forward returns for the S&P 500 index, indicating positive market momentum and potentially leading to favorable investment outcomes. Image: Goldman Sachs Global Investment Research

Top Five Companies % of S&P 500 Market Capitalization

Top Five Companies % of S&P 500 Market Capitalization The concentration of the S&P 500 in the five largest stocks remains higher than it was during the dot-com bubble, which is seen as a potential risk, as it can lead to increased market volatility and a lack of diversification. Image: BofA US Equity & Quant…

U.S. Labor Market – U.S. Nonfarm Payrolls vs. Retail Sales

U.S. Labor Market – U.S. Nonfarm Payrolls vs. Retail Sales Higher payrolls can potentially lead to higher retail sales, as increased income for employees can result in greater purchasing power. Image: BofA Global Investment Strategy