Charles-Henry Monchau

Chief Investment Officer



WEEKLY SUMMARY: US “soft landing” hopes pushed stocks higher  

Stocks resumed their winning streak on the back of some signals that the economy might avoid a recession in 2023. Consumer discretionary stocks were especially strong, thanks partly to a big jump in Tesla shares over the week following a favorable outlook. Defensive sectors (consumer staples, health care, and utilities) lagged. Value stocks underperformed growth shares. The strong start to the week on Monday was due in part to an article over the weekend by WSJ Nick Timiraos (known as the “Fed Whisperer”) who cited recent comments from Fed governor Christopher Waller, who highlighted “ample evidence” of slowing demand. On the Macro side, core (less food and energy) personal consumption expenditures (PCE) price index rose 4.4% over the year ended in December, still above the Fed’s 2% long-term inflation target, but well below its 5.4% peak in February 2022 and the slowest pace in 14 months. Earnings reports were again disappointing this week; Microsoft fell sharply after the company reported a larger-than-expected decline in earnings and a slump in revenues that it expects to continue into 2023. Other weak performers included IBM and Intel. The yield on the 10-year U.S. Treasury note increased moderately over the week. Shares in Europe rose as some encouraging economic data points helped to overcome concerns about the pace of monetary policy tightening. In Asia, the Hang Seng Index gained 2.96% for the holiday-shortened week. Bitcoin soared over $23k.


This marketing document has been issued by Bank Syz Ltd. It is not intended for distribution to, publication, provision or use by individuals or legal entities that are citizens of or reside in a state, country or jurisdiction in which applicable laws and regulations prohibit its distribution, publication, provision or use. It is not directed to any person or entity to whom it would be illegal to send such marketing material. This document is intended for informational purposes only and should not be construed as an offer, solicitation or recommendation for the subscription, purchase, sale or safekeeping of any security or financial instrument or for the engagement in any other transaction, as the provision of any investment advice or service, or as a contractual document. Nothing in this document constitutes an investment, legal, tax or accounting advice or a representation that any investment or strategy is suitable or appropriate for an investor's particular and individual circumstances, nor does it constitute a personalized investment advice for any investor. This document reflects the information, opinions and comments of Bank Syz Ltd. as of the date of its publication, which are subject to change without notice. The opinions and comments of the authors in this document reflect their current views and may not coincide with those of other Syz Group entities or third parties, which may have reached different conclusions. The market valuations, terms and calculations contained herein are estimates only. The information provided comes from sources deemed reliable, but Bank Syz Ltd. does not guarantee its completeness, accuracy, reliability and actuality. Past performance gives no indication of nor guarantees current or future results. Bank Syz Ltd. accepts no liability for any loss arising from the use of this document.

Read More

Straight from the Desk

Syz the moment

Live feeds, charts, breaking stories, all day long.

Thinking out loud

Sign up for our weekly email highlighting the most popular posts.

Follow us

Thinking out loud

Investing with intelligence

Our latest research, commentary and market outlooks