With the unedifying spectacle of the first Presidential debate behind us, and the election just over a month away, we believe markets are continuing to shift into a mode driven more by politics than by the pandemic. Daily new U.S. confirmed cases and deaths are at the same levels as Read more…
Market attention is shifting from coronavirus to elections as November gets closer and campaigning heats up. News coverage is already reflecting concerns that an unclear result on Election Day could lead to weeks of contention and uncertainty, and we all know how little Mr Market cares for that. Many investors, Read more…
U.S. markets have continued sideways after their decline from late August highs. As noted above, deal volume is high, with many new offerings, particularly in the technology and healthcare sectors. We’ve been busy reading prospectuses and listening to presentations. We’re impressed by the difference between this time and the buildup Read more…
U.S. markets this week have arrested their rapid slide from last week’s highs. Reports suggest that the NASDAQ’s ramp to new highs was accelerated by large-scale options trading which was then unwound as the suspected traders took profits. It remains to be seen if the correction has run its course Read more…
Another week, another report of new market highs and apparent absurdities. Apple [NASDAQ: AAPL] alone, as of this writing, has exceeded the valuation of the entire Russell 2000 index. Truly, we live in interesting times. As this note goes to press, a sharp drop in U.S. markets is showing that Read more…
For the United States, the passing of last week’s Bradley Date has reinforced the existing trend. Markets have continued higher, led by the beneficiaries and themes noted above: primarily, the technology companies whose products have permitted many businesses and individuals to function, even to thrive, in the midst of the Read more…
The S&P has capped its post-crisis recovery to reach new highs; and in spite of how rapid the climb has seemed, it is not very different from the trajectory off the 2009 crisis lows: We continue to be basically bullish on U.S. stocks. Technology continues to move ahead, while cyclicals Read more…
We believe that there are significant reasons to believe that the post-pandemic recovery may be nearer, and could be stronger, than consensus expectations. Market rotations will be ongoing, creating volatility for affected sectors and industries. Investors can either approach these rotations tactically, or simply maintain exposure to their chosen themes Read more…
The U.S. stock market is clearly in a blowoff phase. Investors who think that this phase must necessarily be brief may well prove incorrect. Tens of trillions of investment dollars remain on the sidelines, waiting for an opportunity. We suspect that volatility, when it occurs, will be sharp and relatively Read more…
Our interest remains focused on the tech and healthcare sectors as earnings unfold and companies offer some view of how they see the progress of economic recovery. Democrats and Republicans will likely soon wrestle through a further stimulus package, since neither wants to disappoint constituents ahead of an election season Read more…
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