Will a rate-dependent equity market become a headwind?
Could last year’s market tailwind turn into this year’s headwind? This week’s chart looks at stocks and rates’ tandem moves over the past year.
Equity market to remain rate dependent in 2024?
This week’s chart finds the bulk of the S&P’s returns last year came on days when rates fell. So far, 2024 has followed a similar pattern.
Stock-bond correlation hits multi-decade high
Stock-bond correlation spiked in 2023 to a 40-year high. This week’s chart looks at how it exacerbates the diversification challenge.
Markets pricing in too much Fed easing?
Is the market expecting too much from the Fed? This week’s chart looks at the dramatic decline in market-based rate expectations.
Small caps show signs of economic stress?
This week’s chart looks at the rising percentage of small cap companies reporting negative earnings as public index returns mostly remain in neutral.
Inflation data drives market volatility
As the market remains focused on inflation, this week’s chart looks at S&P returns on days when CPI is released compared to non-release days.
