Our team looks at a lot of research throughout each day. A few charts that caught our eye this week, and the way they fit the unfolding puzzle of evidence:
John Luke: The lagging broader market has finally picked itself up in recent weeks
Beckham: though most of this year’s equity gains have been from P/E multiples expanding, not earnings growth
Data as of 07.12.2023
Joseph: The popular megacap techs, in particular, have seen an amazing rise in valuations
Source: Ned Davis Research as of 06.30.2023
Dave: with a mere mention of Artificial Intelligence giving an additional bump
Data as of 07.10.2023
Beckham: perhaps setting up a reversion trade?
Source: Strategas as of 07.10.2023
Dave: It will be hard to get actual earnings growth with Nominal GDP fading from recent growth rates
Source: Raymond James as of 07.10.2023
Brad: though there is a wide dispersion of expectations from Consumer Discretionary down to Energy, and in between
Source: Strategas as of 07.10.2023
Dave: Core CPI ex-shelter is now approaching the Fed’s stated target
Source: Raymond James as of 07.11.2023
John Luke: but looking to the rest of the year, the timeline of comps suggests that 2% would be a tough destination to reach
Data as of 07.12.2023
John Luke: particularly with the possibly structural labor force shortage that has emerged in recent years
Source: Alpine as of 07.10.2023
John Luke: The closely watched 10-yr Treasury yield hasn’t been very responsive to the recent fall in headline inflation
Source: Strategas as of 07.12.2023
John Luke: but if it finally moves out of this range, here’s a guide to the impact on fixed income price moves
Source: JP Morgan as of 07.11.2023
Brad: Fun with math, one way to begin an relative comparison of the valuations of competing asset classes
Source: Strategas as of 07.10.2023
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