U.S. Equities: Bye-Bye Buybacks

One casualty from declining free cash flow in the U.S. could be stock buybacks. U.S. businesses are no longer generating enough internal cash flow to fund operations. The corporate sector financing gap is historically wide, reflecting a heavy … [More.]

U.S. Equities: Burden Of Proof Lies With The Bulls

2100 has been a key resistance level for the U.S. S&P 500. We believe the market lacks a near-term catalyst for a breakout above that level. Conversely, several factors risk pulling the market down. It is unlikely that economic data … [More.]


Autumn euphoria has taken over from summer panic, and global equity bourses are making a run at all-time highs. However, markets are becoming unhinged from still deteriorating earnings fundamentals. The diverging monetary policy backdrop, with the … [More.]

Geopolitics And Safe Havens

Any investor who has been in either gold, the Swiss franc, the yen or a multitude of other so-called “safe haven” assets has experienced extremely poor returns of late. Moreover, this has been taking place behind a backdrop of falling global equities … [More.]

The Renminbi’s Path Of Least Resistance

As the Chinese economy is still struggling with weak growth and heightened deflationary pressures, a weaker currency is certainly desirable in terms of aiding the authorities' monetary easing campaign. However, it is not clear that will … [More.]