Category: Blog

ISABELNET Cartoon of the Day With the S&P 500 jumping 4.59% last week, bulls are celebrating like they just hit the jackpot, while bears are trying to find their lost optimism! Have a Great Week, Everyone! 😎

Valuation – Forward 12-Month P/E for S&P 500 With a forward P/E ratio of 20, the S&P 500 is trading above its long-term historical average. As a result, current valuations are elevated rather than historically cheap. Image: Bloomberg

Crypto Fund Flows Crypto funds have seen a sharp rise in inflows, signaling growing investor optimism in the crypto market. Image: Deutsche Bank Asset Allocation

S&P 500 Performance After >70% Advancers Three Days in a Row on the NYSE Historically, three consecutive days with over 70% NYSE advancers signal strong bullish momentum. Since 1950, the S&P 500 has delivered positive 12-month returns 96% of the time, averaging an 18.9% gain. Image: Carson Investment Research

S&P 500 2025 EPS Estimate After Tariff Impact Deutsche Bank slashed its 2025 S&P 500 EPS estimate to $240 (from $282) due to tariffs’ outsized burden on U.S. companies. The S&P 500 index could rally to 6,150 if trade tensions meaningfully abate. Image: Deutsche Bank Asset Allocation

Gold vs. Other Asset Total Returns A performance rotation from stocks to gold is emerging. This may signal the beginning of a broader shift, as Trump’s efforts to weaken the dollar and lower rates coincide with a deteriorating outlook for equities. Image: Topdown Charts

Sentiment/VIX Composite vs. S&P 500 Current low levels of the Sentiment/VIX Composite Index tend to coincide with market lows, indicating potential buying opportunities rather than the onset of larger market reversions. Image: Real Investment Advice

S&P 500 and Zweig Breadth Thrust Bulls have reason to smile as the Zweig Breadth Thrust has perfectly predicted S&P 500 gains in all 19 post-WWII instances, averaging 23.4% returns within a year and never producing losses over 6- or 12-month horizons. Image: Carson Investment Research

S&P 500 Forward Earnings and U.S. Dollar Index The weakening U.S. dollar is raising significant concerns for U.S. corporate earnings, particularly through its interplay with tariffs and global economic uncertainty. Image: Bloomberg

Magnificent Seven Stocks vs. S&P 500 Index Since DeepSeek’s emergence in January 2025, the Magnificent Seven stocks have underperformed compared to the S&P 500, driven by AI disruption fears and concerns over capital expenditures. Image: Deutsche Bank

S&P 500 2025 Target Deutsche Bank strategists slashed their S&P 500 year-end target by 12% to 6,150, attributing the revision primarily to escalating trade war tariffs and their economic fallout. Image: Bloomberg