Weekly Thoughts
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Investors ignore rising US inflation while Japan investors brace for Olympics
Cooling off in sales of large ticket items brings its own problemsWith rising inflationary pressures in the US failing to cool market’s enthusiasm for risk, the prevailing wisdom that these pressures remain…
June 13, 2021 -
Eyes firmly on inflation gauges and the outcome of Japan Olympics
Inflation remains key to performance of growth vs value In US markets, the tug of war continues between inflation hawks who worry about rising prices being currently seen almost everywhere and those who…
June 5, 2021 -
We stick with our playbook while await the fate of Japan’s Olympics
We remain overweight cyclicals while reopening plays are looking good againIt has been a fairly confusing market more recently with stock indices moving sideways and rotations between sectors quickening. Fears of slowing…
May 23, 2021 -
Monetary and geopolitical regime change to dominate market trends
Why we see higher rates keeping headwinds heavy for growth stocksAlthough inflation anxieties have investors fairly nervous, especially regarding tech and growth stocks, deeper cyclicals and value plays that dominate our long…
May 16, 2021 -
Japan equities looking ideal for L/S funds while vaccine news likely turn positive
Japan remains fertile ground for L/S funds This week we briefly look inwards and focus on our own Japan equity market. We have seen a big pick-up in outperformance in cyclical/value names last…
May 9, 2021 -
Short term visibility deteriorating while this year’s earnings looking factored in
Raging Covid infections in poorer states becoming a problem Although most Western countries are making good progress in their vaccination programs and keeping Covid contained, surging infections and deaths in India and Brazil…
May 2, 2021 -
Japan stocks lag while US/Japan summit ushers in the new cold war
Japan stocks lag others in April as its policy makers stumble again Japan’s stock market has lagged behind other developed equity markets this month, giving up its last quarter’s lead, especially relative…
April 18, 2021 -
US Vaccination progress, Japan’s fragile Olympics and coming US/Japan summit
US vaccinations continue to surge while Japan struggles ahead of OlympicsAlthough the most recent resurgence in Covid infections around many parts of the world, including Japan have led to some renewed concerns…
April 11, 2021 -
Global stocks poised for another quarterly advance but geopolitical risks linger
Equity markets looking poised for more gains this quarterWith a short-lived quarter-end profit taking of the previous week out of the way, S&P cleared its symbolic all time high hurdle of 4,000…
April 4, 2021 -
Why Covid’s 3rd wave will be the last big one and why China risks are growing
Last week’s markets provided a brief glimpse into ‘what if we are wrong?’ scenarioLast week we saw what looked to be a brief quarter-end related profit taking in cyclicals and re-opening plays…
March 28, 2021