Mega caps often looked at as a monolith but that can be misleading …
Mega caps often looked at as a monolith but that can be misleading … for those below via Bloomberg, share price changes and margins are quite different, while Tech is not sole sector represented (Cons Discretionary and Comm Services are included in “Super 7”). Source: Liz Ann Sonder
Tesla holds the undisputed leadership position among #electriccar companies based on market capitalization
Tesla holds the undisputed leadership position among electric car companies based on market capitalization. However, this year, BYD has surpassed Tesla to become the world's top-selling EV brand. Source: Genuine Impact
Artificial Intelligence through the decades - how did we get there?
Source: Forbes, Goldman Sachs
The S&P 500 is now 3% higher than where it was when the Fed started hiking rates in March 2022. $SPX
Source: Charlie Bilello
The easy part is over for disinflation as disinflationary base effects are behind us
The easy part is over for disinflation as disinflationary base effects are behind us. The MoM CPI now needs to be lower than 0.2% for #inflation to continue moving lower. Source: BofA
Over-optimistic sentiment can stay extended / “stretched” for long periods of time.
Over-optimistic sentiment can stay extended / “stretched” for long periods of time. Source: Goldman Sachs
The Bloomberg Dollar Spot Index slumped to a 15-month low, with the gauge now down over 11% from a September peak
The Bloomberg Dollar Spot Index slumped to a 15-month low, with the gauge now down over 11% from a September peak. hedgefunds had been bracing for weakness, as they turned net sellers of the dollar for the first time since March, according to data from the Commodity Futures Trading Commission aggregated by Bloomberg. The dollar’s resilience has confounded bears who had warned that the currency was headed for a multi-year decline following a surge in 2022. But there’s a growing conviction that they may finally be proven right as easing inflation backs the case for the us central bank to wrap up its rate-hike campaign in the coming months. Source: Bloomberg
Is this the biggest risk for the equity "bears"
Is this the biggest risk for the equity "bears". As highlighted by Goldman, there is a $5 Trillion “wedge” between Money Market Funds and bonds vs. equities... As investors realize that the much feared recession is not happening, they might be willing to move from the sidelines back into risk assets. Goldman's Rubner calls it a "R.I.N.O market" (Recession In Name Only).
