Category Archives: Markets Views & Analysis

PRO-II(EYEs) Indicators Suggest Short-Term Bounce

We have not reviewed our PRO-II(EYEs) indicators in a while because there were mostly caution signals, and we generally cover those with our macro comments each week. The lower the risk level, the higher the opportunity. While we think the hawkish policy (fiscal and monetary)

What Does Value over Growth Mean for the S&P TSX

You may have heard me and other suggests that value stocks will likely outperform growth stocks in the inflationary environment we are in. The S&P TSX is a very heavily tilted value index largely due to its lack of info technology and consumer cyclical stocks

How Can the Fed Engineer a Soft Landing

The markets did not like the hawkish fedspeak last week. Bond yield ripped higher and are about to break key yield support in the 10-year. The market narrative is debating the 2017-2018 dual policy of rate hikes at the same time they were reducing the

Tis the Season to Pick Up Some Tax Loss Bargains

My rule of thumb here, and always, is that you have to fundamentally want to own the stock (or ETF). In our stock selection process, we filter the main ETFs that represent the major indexes and remove the bottom half of the index that does

Going for Gold, but Not on the Podium

The World Gold Council mid-year outlook suggests that higher rates running faster than inflation hurt in the first half. Current expectations for real yields (inflation versus nominal yields) now suggest gold should be on the podium. That fact that gold is not shinning requires a

High Bar Set for US Earnings Quarter

Expectations for 2021 earnings and beyond are robust to say the least. History suggests such a high bar is harder to jump. As a reminder, the market prices in forward expectations and in order to do even better, results need to beat expectations. That will

Warning: The Making of the Mother of All Crashes!

The famed fund manager Michael Burry featured in “The Big Short,” warned last week loses on crypto and meme stocks could be more than the GDP of some countries. Crypto, Meme Stocks: Michael Burry Warns About ‘Mother of All Crashes’ – Bloomberg We look at

Are Stock Buybacks Making Inequality Issues Worse?

There is a significant shift developing towards minimum tax rates and for many companies to pay their far share. Treasury Secretary Janet Yellen recently achieved an agreement within the G-7 backing a global minimum tax rate of 15%. G7 backs Biden’s sweeping overhaul of global