Global Equities Around Fed Cut With And Without Recession Typically, global equities exhibit strong performance following the Fed’s first rate cut, when the economy avoids a recession in the subsequent 12 months. Image: Goldman Sachs Global Investment Research
Equities as a Percent of Financial Assets With favorable market conditions and increasing stock valuations, Americans now hold more than 37% of all assets in equities, marking a record high. Image: Morgan Stanley Wealth Management
U.S. Equities – S&P 500 Equal Weight vs. S&P 500 The performance divergence of the S&P 500 index and its equal-weighted version highlights how a select group of high-flying, large-capitalization stocks is overshadowing broader market weaknesses. Image: Bloomberg
CTAs Exposure to Equities The current CTA equity allocation, at the 64th percentile, indicates a robust positioning without reaching extreme levels. Image: Deutsche Bank Asset Allocation
Global Market Capitalization of All Equities With the United States holding a dazzling 67% of the global equity market—setting a new record—it looks like the rest of the world is just here for the popcorn and fireworks! Image: Goldman Sachs Global Investment Research
Performance of U.S. vs. Rest of World Equities Investing in U.S. corporations is like betting on a horse that always finishes the race—sure, it might stumble, but it usually crosses the finish line ahead of the pack! Image: BlackRock Investment Institute
U.S. Equities – Ratio of Insider Sellers to Buyers While the ratio of corporate insider sellers to buyers is increasing and can be interpreted as a warning sign for potential market volatility, it is still below its long-term average. Image: Morgan Stanley Wealth Management
Equities – FMS Global Equity Allocation FMS investors significantly increased their equity allocation in October, the largest rise since June 2020. This shift is primarily due to a favorable economic climate resulting from the easing of monetary policies by major central banks. Image: BofA Global Fund Manager Survey
Flows to Japan Equities While Japanese equities have faced significant outflows recently due to shifting investor sentiment, underlying structural reforms and an evolving economic landscape may provide opportunities for recovery in the future. Image: BofA Global Investment Strategy
Performance – Price Ratio of Emerging Markets to U.S. Equities Since the global financial crisis, emerging market equities have continuously underperformed U.S. equities, leading to the current situation where the ratio between the two is at its lowest since 1969. Image: BofA Global Investment Strategy
Equities – China’s Valuations If the MSCI China P/E ratio increases from its current range of 11-12x to a peak of 15-16x, this could represent a potential upside of approximately 40%. Image: BofA Global Investment Strategy