House of Market Insights, Market Radar

Market Radar

House of Market Insights

Quick market updates and lot of ideas for your investments from a multi-asset portfolio manager working for a family office.

Quick Market Updates

Macroeconomics

<ul><li>After almost 2 years of rising stock prices, and falling yields, 2022 started in a frustrating way.</li><li><p>Most of the equity indices are negative YTD, and after the big fall in the first 3 weeks of the year, the reaction has been weak. Indeed many indices have been flat in the last weeks.</p></li><li><p>Of course markets are now focused on 3 main themes: earnings, inflation and geopolitics.</p></li></ul>

After almost 2 years of rising stock prices, and falling yields, 2022 started in a frustrating way.Most of the equity indices are negative YTD, and after the big fall in the first 3 weeks of the year, the reaction has been weak. Indeed many indices have been flat in the last weeks.Of course markets are now focused on 3 main themes: earnings, inflation and geopolitics.

Founder

Olivier Desbarres

Exacting. Excellent. Exceeding. Exemplary.

4X Global Research

4X Global Research was founded in 2017 to provide institutional and corporate clients with the substantive research, high-quality analysis and thoughtful insight on Emerging and G20 economies and financial markets they need to make informed and timely decisions and gain an edge in their investments.

FX & Rates

<ul>
<li>Markets focussed on the risk that likely Federal Reserve and global central bank policy rate hikes and monetary policy tightening will weigh on equities and implications for Dollar. </li>
<li>But there's also risk that downturn in US equities would weigh on US consumer confidence and demand and in turn inflationary pressures and see the Fed pausing its hiking cycle.</li>
<li>It may be different this time round, given very negative Fed real policy rate, but in the previous three Fed rate hiking cycles US equities were generally trending higher.</li>
</ul>


Markets focussed on the risk that likely Federal Reserve and global central bank policy rate hikes and monetary policy tightening will weigh on equities and implications for Dollar. 
But there's also risk that downturn in US equities would weigh on US consumer confidence and demand and in turn inflationary pressures and see the Fed pausing its hiking cycle.
It may be different this time round, given very negative Fed real policy rate, but in the previous three Fed rate hiking cycles US equities were generally trending higher.


Fed Hikes Not Immune from Equity Collapse

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

<ul>
<li>The short-term bullish reversal discussed last week is officially underway now that the S&amp;P 500 has reclaimed its 200-day MA, but we are not yet out of the woods.</li>
<li>We discuss what we are watching to determine whether this is just an oversold bounce that resolves lower, or if the S&amp;P 500 is headed back to all-time highs.</li>
<li>The prior two trading days appears to be the start of a short-term mean reversion, where beaten down growth areas (ARKK, software, biotech, etc.) are outperforming.</li>
</ul>


The short-term bullish reversal discussed last week is officially underway now that the S&amp;P 500 has reclaimed its 200-day MA, but we are not yet out of the woods.
We discuss what we are watching to determine whether this is just an oversold bounce that resolves lower, or if the S&amp;P 500 is headed back to all-time highs.
The prior two trading days appears to be the start of a short-term mean reversion, where beaten down growth areas (ARKK, software, biotech, etc.) are outperforming.


Not Out Of The Woods; SPX Back Above The 200-Day MA; Growth Catching A Bid; Buying Energy, Biotech

<ul>
<li>Indexes continue to violate our key supports as the Russell 2000 (IWM) broke below $208, the S&amp;P 500 broke below 4495, and the equal-weighted Nasdaq 100 (QQEW) broke below $109.</li>
<li>This type of damage paints a bearish picture at the index level, and will take some time to repair.</li>
<li>Now that key supports have been violated, we are monitoring for oversold conditions that could mark a bottom, and it is possible that was yesterday (Jan. 24).</li>
</ul>


Indexes continue to violate our key supports as the Russell 2000 (IWM) broke below $208, the S&amp;P 500 broke below 4495, and the equal-weighted Nasdaq 100 (QQEW) broke below $109.
This type of damage paints a bearish picture at the index level, and will take some time to repair.
Now that key supports have been violated, we are monitoring for oversold conditions that could mark a bottom, and it is possible that was yesterday (Jan. 24).


U.S. Equity Strategy: Index Supports Breaking; Upgrading and Buying Utilities

Fixed Income and Currency Strategist

Gautam Jain, PhD, CFA

<ul>
<li>In my monthly recap note, I provide a performance update of my weekly trade recommendations in emerging markets FX and rates.</li>
<li>Of the total of 31 trade recommendations made so far, I have recommended closing 21 of which 17 were in the money.</li>
<li>I also go over my open trade recommendations as well as those that I have closed recently.</li>
</ul>


In my monthly recap note, I provide a performance update of my weekly trade recommendations in emerging markets FX and rates.
Of the total of 31 trade recommendations made so far, I have recommended closing 21 of which 17 were in the money.
I also go over my open trade recommendations as well as those that I have closed recently.


Alpha Bites: Performance Summary of Trade Recommendations in FX and Rates – January 2022

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US Treasury (10 Yr Generic) (GT10 GOVT)

A frustrating month for markets

After almost 2 years of rising stock prices, and falling yields, 2022 started in a frustrating way. Most of the equity indices are negative YTD,...

Market Radar

Fed Hikes Not Immune from Equity Collapse

Direction of US equities and their impact on consumption and ultimately inflation will colour timing & magnitude of Fed hikes & management of its...

Olivier Desbarres

Not Out Of The Woods; SPX Back Above The 200-Day MA; Growth Catching A Bid; Buying Energy, Biotech

The short-term bullish reversal that we referenced last week is officially underway now that the S&P 500 has reclaimed its 200-day MA, but we are...

Vermilion Research

U.S. Equity Strategy: Index Supports Breaking; Upgrading and Buying Utilities

Indexes continue to violate our key supports on the Russell 2000 (IWM), the S&P 500, and the equal-weighted Nasdaq 100 (QQEW). Most opportunities...

Vermilion Research

Alpha Bites: Performance Summary of Trade Recommendations in FX and Rates – January 2022

I provide a performance update of all my trade recommendations along with discussing the open trades. I have closed 21 of the 31 trades recommended...

Gautam Jain, PhD, CFA

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)