US small caps tend to heat up when the weather gets cold.
Historically, Nov-Jan is the strongest period for the Russell 2000. Source: David Marlin @Marlin_Capital, BofA
The US stock market is MASSIVE: US stock market capitalization accounts now for 74% of the MSCI World Index, a new all-time high.
Since the end of the 2008 Financial Crisis, this percentage has increased by ~25 points. By comparison, Europe and Japan’s share have dropped by ~15 and ~5 percentage points, respectively. As a result, the US' share of global market cap is now 4 TIMES larger than Europe and Japan COMBINED. This comes as the S&P 500 has rallied 450% over the last 15 years compared to a 70% and 310% gain of the Euro Stoxx 50 and Nikkei 225. The US stock market has never been larger. Source: The Kobeissi Letter, SG Cross Asset Research, Factset
Interesting analog regarding Trump 1.0 vs Trump 2.0 from NDR.
S&P 500 rallied after both elections.
$1.1 trillion into US stocks so far in the roaring 20s.
Source: BofA via @ackmeni via Mike Zaccardi, CFA, CMT, MBA
Which assets are most correlated to the USD?
The U.S. dollar (USD) has weak correlations with major U.S. equities like the S&P 500 and Apple 💵 Source: @OANDA and Visual Capitalist https://lnkd.in/eFccw27e
🚨INSTITUTIONAL INVESTORS HAVE NEVER BEEN MORE BULLISH🚨
Asset managers, leveraged funds and other investors net LONG positioning in the S&P 500 exceeded 240,000 contracts, the most on record. This is DOUBLE the amount seen in 2021 before the bear market started. Euphoria is an understatement. Source: Global Markets Investor
OUCH! French stocks are set for their worst under-performance against European peers since 2010 as a budget standoff threatens to topple the govt.
Source: BBG, HolgerZ
On an inflation-adjusted basis, including dividends, European stocks are up 2% in the last 17 years.
Source: Mike Zaccardi, CFA, CMT, MBA
