Archive | June, 2015

S&P 500 Suffers First 2% Down Day Since End of 2014

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Today was no doubt a risk off day for the markets. There was persistent selling pressure in stocks worldwide with the S&P 500 down 2.09%, but international indexes down quite a bit more. Given that today was the first 2% down day since October 9th, 2014 and July 31st, 2014 before that, we thought we’d highlight the utter […]

The Market Continues to Vote for Japan Over Europe


Despite Japanese stocks outperforming European stocks by 7% YTD and 14% over the last year, the investment community has continued to basically ignore Japan in the commentary we read. But, for those who have been overweight Japan it has been a good ride. The MSCI Japan is up over 9% YTD and 5% over the […]

Are Staples and Health Care Poised for More Outperformance?

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Today’s cyclical jolt aside, it appears from glancing at relative performance charts of growth counter-cyclicals (our code wording for the Consumer Staples and Health Care Sectors) that they could be poised for a relative performance breakout. Indeed, in all major regions of the world, growth counter-cyclicals are outperforming – or look poised for another leg […]

Growth Or Value Leadership Depends on Fed Policy

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The last few years have been good for growth stocks, but I think there is another observation underneath the surface as well.  Growth and value leadership has pivoted on Fed policy the last five years.  In the chart below, I plot the relative performance of the S&P 500 Growth Index compared to the S&P 500 […]

High Level Review of Global Momentum Trends


In our view one of the most blunt and useful indicators of momentum is measuring the percent of stocks in an index whose 50-day moving average is higher than the 200-day moving average. It sounds simple and it is, but the movement of indicator does a good job identifying the intermediate term trend of the […]