Positioning for a Shifting International Equity Cycle
Market Leadership Shifts as Breadth Strengthens
Market leadership is shifting toward financials, industrials, and materials as global breadth improves and inflation linked sectors gain strength. Precious metals, copper producers, and diversified miners are breaking out, supported by rising commodity prices and renewed liquidity. International markets continue to outperform in many regions, and cyclical sectors are showing healthier technical setups than defensive, […]
Royal Bank Surges on Earnings Beat and Dividend Hike
Is the Year-End Rally Just Getting Started?
Key Points: Market Breadth Has Improved but Not Enough to Fully Invest The S&P has rebounded, and breadth indicators have begun to repair, but not to levels that justify deploying all cash. With December liquidity thinning and potential volatility ahead, maintaining roughly 20 percent cash remains prudent. Global Fiscal Spending and Loosening Monetary Conditions […]
Market Leadership Narrows as Defensive Trends Strengthen
Market Signals Strengthening the Case for Selective Positioning
Strong Jobs, Solid Earnings, Selective Positioning
Markets experienced modest weakness this week as narrow leadership and softer breadth created a more cautious tone. Earnings remain strong on both sides of the border, with Canada’s latest jobs report showing surprising strength. Our portfolios are positioned defensively with elevated cash levels, ready to take advantage of opportunities as conditions stabilize. While large-cap […]
Financials Lead, Tech Wavers as Global Markets Outperform
Global markets stayed firm this week while U.S. market breadth weakened. Fewer stocks are driving the rally, so portfolios remain cautious with higher cash levels and tighter risk controls. International and emerging markets outperformed the S&P 500, led by Europe, Japan, and Latin America. Financials and industrials continue to show strength, while gold and other […]
Markets Split: Strength Abroad, Strain at Home
Market leadership continues to narrow in the US as financials, real estate, and consumer sectors weaken, while industrials, materials, and select energy names show strength. Barometer has reduced exposure to financials and gold, added to copper and industrials, and increased cash to preserve flexibility. With US market breadth deteriorating, the firm is focusing on dividend […]
Fed and BoC Signal Easing as Inflation Persists
Central banks are beginning to shift gears. The Bank of Canada has already moved to lower rates, and the Federal Reserve is widely expected to follow as policymakers respond to signs of slowing growth and rising debt concerns. Inflation has eased from previous highs but remains above target, keeping markets on alert. Liquidity continues […]