The Market in Pictures, November 4

by | Nov 4, 2022 | Blog, Charts

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: Bond markets get credit for being better forecasters than equity investors, but they’ve not exactly nailed inflation expectations

 

Data as of 09.30.2022

 

 

Dave: but it could be worse; they could be the committee deciding who to include in the Dow Jones Industrial Average

 

 

Source: Strategas as of 10.31.2022

 

 

JD: This has been one of the sharper valuation resets in modern history

 

 

Source: Barclays as of 10.31

 

 

Dave: Markets have (correctly?) reset valuations this year, to better reflect business fundamentals

 

 

Source: Strategas as of 11.02.2022

 

 

John Luke: and it’s showing up in the reduction of FANG dominance

 

 

Data as of 11.01.2022

 

 

Dave: and outperformance by US-centric Large Caps

 

 

Source: Raymond James as of 10.31.2022

 

 

John Luke: Consumers remain flush, with deposits in checking accounts skyrocketing

 

 

Data as of 11.01.2022

 

 

Dave: yet economy-wide money supply has been collapsing

 

 

Data as of 10.27.2022

 

 

Dave: Pundits remain fixated on the terminal rate and peak yields, but sometimes those peaks have come later

 

 

Source: Strategas as of 11.02.2022

 

 

John Luke: Wednesday was an all-timer for worst post-Fed market reaction, not helping Chairman Powell’s reputation with equity investors

 

 

 

 

Derek: No way around it, 2022 has been rough for even the most experienced bond funds

 

 

Source: Mutual Fund Observer as of 10.31.2022

 

 

John Luke: and the Fed has shown no signs of taking their foot off of the rate pedal

 

 

Source: Bianco as of 11.03.2022

 

 

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