This is also why US dominance and exceptionalism is here to stay...
Computing power is the new gold and almost 50% of the world’s data centers are in the us. Source: Visual Capitalist
Fixed income: Credit is still the place to be
Spreads are as tight as they've been this entire bull market: Source: J-C Parets
This is from where Trump 2.0 is starting...
US stocks now make up 65% of the global equity market, their highest weighting in history. This is more than 11x bigger than the second largest country by market cap (Japan at 5.6%). With his MAGA, can US weight % of the global equity market hit even higher level??? Source chart: Charlie Bilello
Trump is inheriting a Federal Reserve w/ not only unprecedented losses of $218 billion, but it's still losing money;
the Fed won't send the Treasury a dime for the entirety of Trump's term; that's never happened since the inception of the Fed - another challenge for Trump... Source: E.J. Antoni, Ph.D. @RealEJAntoni
The ECB shields high debt countries from bond market crises via the combined effect of past interventions and its TPI anti-fragmentation tool.
Underlying assumption is that high debt countries will do what it takes to bring down debt without crises. That assumption is wrong... - Robin Brooks on X
The fourth quarter earnings season is longer than the others because companies need to complete their year-end numbers and get signed off on by the auditors.
Therefore, only half of those S&P 500 $SPY companies expected to report in February have scheduled earnings yet, so look for those right bars to get bigger. That said, we have a pretty good look at the next few weeks. This week will still be mostly about the Financials $XLF, but we’ll begin to get Industrials $XLI reporting too. source : earningswhisper
$NVDA: The Driving Force Behind the S&P 500’s 2024 Rally
NVIDIA’s incredible 170% gain in 2024 has played a pivotal role in the market’s performance, contributing to over 20% of the S&P 500’s return. source : BofA, Mike Zaccardi, CFA, CMT, MBA
Surprise surprise...
energy has been by far the best-performing sector during the Biden administration. Source: HolgerZ, Bloomberg
