A BCA View Meeting: All On Board, Raise Your Hand

Yesterday, we had a lengthy discussion about The End (of the bull market). Most of our strategists are on board for our 'default position' of stocks over bonds. As we have highlighted recently, valuations are not exactly favorable for equities … [More.]

Don’t Give Up On U.S. Capital Spending

There is still considerable skepticism about whether a meaningful capital spending will ever unfold, but we maintain that the cycle will revive. Economic growth has been much lower than in past recoveries. The unusually high level of … [More.]

Gold: Play The Coming Countertrend Rally?

In recent months, gold prices have failed to rise despite dollar weakness. Some catch-up is likely. In our view, the main driver for gold's "surprising weakness" has been liquidation and capitulation out of gold as an investment vehicle. It is … [More.]

We Would Buy All The Corporate Bonds The IMF Wishes To Sell

Our U.S. Corporate Health Monitor remains firmly in improving health territory, which historically lines up very well with periods of corporate bond outperformance. Apart from corporate sector fundamentals, our default rate outlook also continues to … [More.]

U.S. Equities: Lift-Off

The short-term resolution to Washington’s folly ignited stocks last week, kicking off what looks to be an equity overshoot phase. Even a soft earnings season is unlikely to derail the budding positive momentum in the broad market: investors may award … [More.]