Our team looks at a lot of research throughout each day. A few charts that caught our eye this week, and how they help fill the puzzle of evidence:
John Luke: Inflation was the topic of the week, its death may have been greatly exaggerated
Data as of 09.14.2022
Joseph: and we saw broad price rises outside of energy prices
Source: B of A as of 09.14.2022
John Luke: From a headline standpoint, the bar for year-over-year increases gets pretty high after next month
Data as of 09.09.2022
Brad: but despite commodity prices falling from highs, they’re still quite elevated vs. recent years
Source: Strategas as of 09.13
John Luke: Post-CPI, markets have bumped future rate expectations higher
Data as of 09.13.2022
John Luke: but don’t expect banks to be friendly with the money market rates they offer
Data as of 09.09.2022
Brad: Consensus earnings estimates are following their usual pattern of rising early and fading late
Source: Strategas as of 09.09.2022
Brad: but corporations are jumping out in front of the forthcoming buyback tax
Source: Strategas as of 09.13.2022
Dave: International markets face some stiff headwinds with the strength in the US Dollar
Source: Strategas as of 09.09.2022
Joseph: and there are a handful of countries with a huge % of loans resetting higher
Source: Bloomberg as of 09.12.2022
John Luke: Based on current inflation rates, expansion of P/E multiples seems off the table
Source: Shiller PE as of 9.13.22
Brad: but maybe stocks aren’t the most expensive asset class for US investors?
Source: Strategas 09.09.2022
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The Consumer Price Index (CPI) measures the change in prices paid by consumers for goods and services. The CPI reflects spending patterns for each of two population groups: all urban consumers and urban wage earners and clerical workers.
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