The SP500 just had its worst day since 2020
Source: Blossom @meetblossomapp
The S&P500 had yesterday its worst day since 2020
Source: Blossom @meetblossomapp
US smallcaps #Russell2000 is officially in bear market
First time since 2022
The $VIX ended the day at 30, its highest close since August 5, 2024.
Fear is on the rise and stocks are on sale, providing more opportunities for long-term investors. Source: Charlie Bilello
Oh, the irony.
Source: TrendSpider @TrendSpider
Despite the pullback, the S&P 500 is still NOT cheap:
As shown below, the US stock market is expensive or very expensive on 12 out of 13 valuation indicators, according to Charles Schwab analysis. Metrics like 5-year normalized P/E, P/B or Shiller's CAPE are still historically elevated despite the sell-off. Source: Charles Schwab, The Leuthold Group, Bloomberg thru Global Markets Investor
Bull markets that make it past the two-year mark have typically consolidated in year three before heading higher again.
Source: Bespoke
Germany is the european country the most sensitive to global trade according to Goldman - see chart below
According to Goldman Sachs, the Dax and MDax have a beta of 1.9 to world trade growth — meaning they tend to move almost twice as strongly w/changes in global trade. That’s much higher than the US market, which has a beta of 1.4. In contrast, the UK’s FTSE 100 is less exposed to global trade, thanks to its defensive sector mix and the UK’s services-driven economy. The Swiss SMI is similarly more insulated. It’s also a defensive index, and Swiss exports are generally less sensitive to global demand, as they often consist of high-tech, specialized products. Source: HolgerZ, Goldman Sachs
