Editor's Note: Below is a brief excerpt from today's Early Look written by CEO Keith McCullough. Click here to learn more about the Early Look.
Another reality that continues to manifest in US Equity Style Factor terms is what’s called the Pain Trade:
- HIGH SHORT INTEREST stocks led gainers, closing up +2.9% last week
- HIGH BETA stocks were right behind consensus shorts at +2.6% last week
- SMALLER CAP stocks played catchup too, closing +2.7% last week
*Mean performance of Top Quartile vs. Bottom Quartile, SP500 companies
This Macro Monday will indeed prove painful for anyone who shorted Friday’s Trump v. Flynn lows.
