SMLE News and Press, Xtrackers S&P SmallCap 600 ESG ETF From 09/27/22

Summary New orders for durable goods fell 0.2 percent in August, following a 0.1 percent fall in July and a 2.3 percent jump in June. New orders for nondefense capital goods excluding aircraft, or core capital goods, a proxy for business equipment investment, jumped 1.3 percent in...

Summary Powell’s speech last Wednesday raised recession fears. The Atlanta Fed revised its third-quarter GDP estimate down to a +0.3% annual pace, down from its previous estimate of a +0.5% annual pace. U.S. interest rates also shot up in response to the Fed Chair’s ...

Summary The latest rate hike announcement by the Fed sent stocks tumbling to the year’s lows. While last week’s market action was brutal, the good news is the markets are set up for a rather significant short squeeze higher. We agree investors should be more cautious...

Summary The risk asset sell-off is pushing multiple technical indicators to extremes. These extremes suggest we are closer to a turning point. If the economy avoids recession, this bear market should be shorter and shallower than average. I am still looking for a fourth qu...

Summary A number of advisors have reported higher than normal inventories as an additional sign of pending recession. The data does not support this perception. Business Inventory/Sales…and Retail Sales vs. Trucking… reveal a considerable deficit exists in business I...

Summary A market collapse is nothing but risk-aversion meeting an inadequate risk-premium; rising yield pressure meeting an inadequate yield. Value is not measured by how far prices have declined, but by the relationship between prices and properly discounted cash flows. My ad...

Summary Stocks are now back down to the lows set in June and sentiment is as negative now as it was then. There is a long list of technical items that have hit levels or rates of change we associate with bottoms, short- or long-term. The economic data last week was mostly abou...

Summary Markets are entering a new era, where inflation slowing growth are the new normal. Why we may be entering a period of deglobalization. Why the next decade may look very different from the last for investors. Equity markets have been grappling with hig...

Summary The month of September is living up to its reputation as one of the worst-performing months during a year. In just the past two weeks alone the S&P 500 Index is down 9.53%. The equity market weakness has pushed the S&P 500 Index down to a level that is testing the ...

Summary Many central banks aren’t acknowledging the extent of recession needed to rapidly reduce inflation. Markets haven’t priced that, so we shun most stocks. Yields surged after more rate hikes and the UK’s fiscal splurge news. We cut UK gilts to underweigh...