VCR News and Press, Vanguard Consumer Discretion From 01/24/23

Summary The debate about globalization will be interesting as companies increasingly seek alternatives to China and return to more domestic suppliers to solve their global supply chain glitches. The EV earthquake from Tesla’s price cuts is still reverberating, and it will be inte...

Summary The latest December U.S. retail sales surprised observers as the headline index shows sales were weaker than already-weak expectations for December. On a month-over-month basis, many categories struggled across the board. Shoppers spent less on vehicles, gasoline and furniture. ...

Summary Economists were expecting a decline, but the 1.1% slide in retail spending in December was deeper than expected. Real spending in annual terms tends to be a more reliable measure of business-cycle risk. Other business cycle indicators are also signaling economic activity tha...

Summary Wall Street is bullish on Consumer Discretionary stocks again. The sector has the third-best EPS Revisions Score and Profitability Score, but the second-worst one-year returns. XLY is the largest Consumer Discretionary ETF with $13 billion in assets under management. Its 0.10% e...

Summary Not seasonally adjusted, and despite the price drops, total retail sales and ecommerce sales hit records. In December, retail sales fell 1.1% from November, while prices of nondurable goods (dominated by food and gasoline) dropped 1.2%. Prices of durable goods (new and used ...

Summary Explaining the fundamental rules for managing a Sector BPI portfolio. Examples of how recent buy and sell decisions performed. How to set up asset allocation percentages based on annualized volatility. For further details see: Managing A Portfolio U...

Summary In this post, we provide our key assumptions and outlook for 2023. We are relatively more optimistic than most, as we believe that we are already in the mid-late innings of this downturn. We believe that stabilizing interest rates will provide a base for valuations and expec...

Summary I expect traditional fossil fuel energy companies to continue to excel, rising to up to 30% of the S&P 500 in the upcoming years as technology stocks continue to shrink. After the most aggressive series of rate hikes in decades, inflation is finally moderating. Whether or no...

Summary For 40 years, steadily declining inflation and interest rates buoyed equity returns. That changed abruptly last year. Investors must now adjust expectations to a new macroeconomic and market landscape that will require a fresh mindset to reach long-term goals. By...

Summary Inflation continues to moderate, not only here, but also in Europe. Despite the negative economic reports and the reaction to the Fed rate hike, the US Dollar barely budged for the week. Value yet again outperformed Growth in the last week, this time by a spread of almost 1%...