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Latest Insights by Barometer

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It takes money to make money

Does it matter if a company reinvests in its business? One of the many factors to consider when investing in a business is whether or not a business is investing in itself. Is there a correlation between the performance of a business and how it performs in the market? To some degree, the answer is

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Where to from here?

It has been a volatile year; so where do we go from here?

So far, 2018 has seen more than its fair share of market ups and downs. So with all of this volatility, where do we go from here? While history does not always repeat itself, there have been some striking similarities over the last four corrections cycles that are worth considering. As far as corrective phases

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Is there a Recession on the Horizon?

Are there signs of a recession on the horizon?

If you’re wondering just how healthy the current business cycle may (or may not) be, one way to gauge this is by looking at several key economic recession indicators. When looking at the key recession indicators in the recession dashboard (which compares the current outlook to past periods of recession), the present outlook is very

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U.S. equities are outperforming on a global scale

U.S. equities are outperforming on a global scale… but can they continue?

Despite all of the talk about trade issues and other political topics, U.S. equities continue to lead the way. When compared to emerging markets and the EAFE markets of Europe, Australasia and the Far East, U.S. markets are significantly outperforming. But can this trend continue? While no one can predict the future, there are some

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Chains Strength

With new market highs across the board, where is the strength coming from?

Markets have been on an upward swing this year, making new highs on a regular basis. Contrary to what you may think, however, it’s not the largest stocks that are driving returns. While the so-called FAANG stocks (Facebook, Amazon, Apple, Netflix and Google) have been performing well, it is actually the mid-cap stocks in quintiles

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Red Diamonds

Scarcity of Supply means Increased Demand

The Number of Companies Listed on U.S. Exchanges has Dropped Significantly The number of companies listed on U.S. exchanges has dropped dramatically since 1996: from a high of 8,823 to the current number of 5,296 — a drop of 40 per cent. With 40 per cent fewer public companies available on the markets, there is

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Yield curves have steepened.

Shhh. Yield Curves have Steepened.

While no one seems to be talking about it much, yield curves in both Canada and U.S. have steepened in the past month. What does this mean? Not surprisingly, banks have started to perform well again as a result.

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Industrials take the lead

Industrials take the Lead

According to a recent study by Strategas*, statistics show that industrials are starting to lead the market, largely driven by impressive earnings. Strategas noted: “We remain impressed with the response from the Industrial stocks this earnings season – the sector is having its best 10-day performance run since the 2016 election and new highs are

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Things may not be exactly as they seem.

Worried over concerns that we’re in a narrow market?

Things may not be exactly as they seem According to a recent study* by Strategas, the case for a narrow market is likely being overstated. In their Technical Strategy Daily Report (July 23, 2018), Strategas noted that while the market has been somewhat split this year, the largest stocks have not been as overly dominant

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