XYLD News and Press, GLOBAL X FDS From 01/10/23

Summary The volatility in Treasury prices was far bigger than the volatility in stock prices. I think in 2023 bonds and stocks will trade places and the volatility in stock prices will be bigger than the volatility in bond prices. Stocks can go down a lot even if the economy is doin...

Summary The overall stock market is grossly oversold, and my small- to mid-cap stocks are trading at 6.8 times median current earnings and just 2.8 times median forecasted 2023 earnings. Clearly, the price-to-earnings compression has become ridiculous and relentless. We are now at the t...

Summary Throughout the life span of the Global X Covered Call ETFs' December options contracts, implied volatilities across major U.S. equity market indices were relatively lower. Equity markets only declined marginally in value during the period and option premiums received by our cove...

Summary A true “pivot” by the Fed, should inflation metrics demonstrate consistent monthly declines, could ignite a sustained market rally. We believe we could witness a material stock-market recovery before the end of 2023. We believe that the risk/reward balance has ...

Summary The first week of trading in 2023 saw the S&P 500 (SPX) rise 1.4% over where it ended 2022, closing the week at 3,895.08. The CME Group's FedWatch Tool continues to project quarter-point rate hikes at both the Fed's upcoming 1 February and 22 March (2023-Q1) meetings, with t...

Summary Over the last year, major changes occurred, so 2023 will be about managing and reacting to the changes that arrived. As we enter 2023, the pessimism of 2022 may shift to optimism, as economies and markets adapt to the major changes thrust upon them in the year just passed. E...

Summary When investing one must differentiate between those indicators based on sentiment and those based on hard counts of economic fundamentals. It is economic fundamentals which eventually emerge into the consensus thinking and produce returns that are better than average. When s...

Summary Top-down and bottom-up forecasts are increasingly diverging, and we think 2023 will be largely about how these divergences resolve themselves. In commodities, after a major spike in 2022, top-down commentators point to slowing growth and inflation, and the historical pattern of ...

Summary When valuing or analyzing a company, I find myself looking for and using macro data (risk premiums, default spreads, tax rates) and industry-level data on profitability, risk and leverage. Much of my focus, when it comes to data, is on company-specific variables, rather than mac...

Summary A positive unemployment report was published this past week and the market did not react as most expected yet again. These economic reports often cause confusion amongst investors and analysts alike, as the market moves opposite of expectations. I outline support, resistance...