JHMI News and Press, John Hancock Multifactor Industrials From 05/05/22

The 10-year vs. two-year US Treasury yield curve momentarily inverted, and many are worried about the negative signals this may send for risk assets and the economy at large. Under normal conditions, the yield-curve trends upward as duration increases; longer-term bonds offer more yie...

The latest headline Purchasing Managers' Index was 55.4, a decrease of 1.7 from 57.1 the previous month and in expansion territory. Today's headline number was below the Investing.com forecast of 57.6. For a diffusion index, the latest reading is 55.4 and indicates expansion. ...

The Institute for Supply Management’s Manufacturing Purchasing Managers’ Index fell to 55.4 in April, off 1.7 points from 57.1 percent in March (50 is neutral). The Production Index registered a 53.6 percent result in April, a drop of 0.3 points from March. The index...

The Richmond Fed’s manufacturing survey was released this morning, showing a modest improvement in conditions in the month of April. The headline number rose by a point to 14, which is still in the middle of the pandemic range of readings and the highest level since December. ...

Current condition indices out of Dallas more closely resembled the results of the Philly Fed survey last week with weak breadth and readings falling into the middle of their historical ranges. At the moment, demand has held up with the index for New Orders ticking up slightly though i...

We believe the conflict in Ukraine may turn out to be less critical for equity markets than the upcoming turn we anticipate in the economic growth cycle. In the near term, we expect the S&P 500 Index (S&P 500) to continue to recover from its March trough. We expect the dis...

People are seeing the fragility of supply chains, leading to a policy shift toward regionalization, and that could create new winners and losers among industrials. Efficiency, in many ways, is at the heart of industrial companies’ value proposition, and we believe this should k...

Total industrial capacity utilization increased 0.7 points to 78.3 percent from 77.7 percent in February, the highest since January 2019. Manufacturing output is at its highest level since July 2008 and is 2.9 percent above its December 2019 pre-pandemic level. Over the last 12 mo...

Bonds are hated right now and people want to believe yields will only go higher from here. Whether or not a recession will eventuate is not yet clear, but a material slowdown in growth is certainly what the leading indicators of the growth cycle are pointing to. The current inflat...

Production and demand growth was subdued by a combination of headwinds, including the Ukraine war and new COVID-19 related disruptions - notably in China. In Europe, the Ukraine war took a toll on production growth, most prominently leading to renewed falls in output in Poland and the...