Major equity indices are within striking distance of new highs. The bull market has come a long way, sending the ratio of S&P 500 market cap to nominal GDP to near record territory. Unwinding is a matter of when, not … Continued
The bull market in U.S. stocks is nine years old. While this alone does not necessarily sound the death knell for this aging bull, this is not a time to remain unambiguously sanguine either. Last Friday, the bull turned nine, … Continued
U.S. corporate bond issuance continues at a healthy pace, with high-yield in particular on course for growth this year after three consecutive yearly decline. In October, corporate debt issuance totaled $140.9 billion, consisting of $118.2 billion in investment-grade and $22.7 … Continued
Post-presidential election last November, U.S. small-caps sprung to life, going nearly parabolic in two separate spurts. President Trump’s promises to cut taxes, prune regulations and increase infrastructure spending helped improve investor sentiment. Small-caps inherently are domestically focused. The first rally … Continued
The financial accounts of the U.S. for 2Q17 was published last Thursday. Better known as the Z.1 report, the massive quarterly publication contains tons of useful data – thus highly recommended. The seven charts below try to highlight where things … Continued
It is probably a foregone conclusion that the Fed later today leaves interest rates unchanged, and will announce a plan to gradually shrink its massive portfolio of mortgage and Treasury bonds. The question is, how would the markets react? The … Continued
The tech-heavy Nasdaq 100 index is doing very well so far this year – up 22.4 percent. This compares with a rise of 10.3 percent for the Dow Industrials, 10.1 percent for the S&P 500 large cap index, and a … Continued
U.S. corporate profits adjusted for inventory valuation and capital consumption grew 1.3 percent quarter-over-quarter in 2Q17 to a seasonally adjusted annual rate of $2.14 trillion, but growth has been uneven since peaking at $2.23 trillion in 4Q14. Since that peak … Continued
Except for the Nasdaq composite, major U.S. indices – the S&P 500 large cap index, Russell 2000 small cap index, Dow Industrials, and the NYSE composite – all had a down March. This did not stop NYSE margin debt from … Continued
U.S. banks’ commercial and industrial loans continue to decelerate. March, out last Friday, came in at a seasonally adjusted annual rate of $2.08 trillion, down $14.7 billion month-over-month. This was the second consecutive m/m decline – and fourth in last … Continued