Investors Need to Understand Our #GlobalDivergences Call

03/07/18 11:53AM EST

Investors Need to Understand Our #GlobalDivergences Call - globe11

"Macro Tourists" continue to discuss President Trump's tariffs, NEC director Gary Cohn's resignation, and the latest accusations of porn star Stormy Daniels. Meanwhile, the more causal factor driving market returns this year is global growth slowing.

#GlobalDivergences

"The only strategist with that call other than us is Mr. Macro Market himself," writes Hedgeye CEO Keith McCullough in a note to subscribers this morning. "Whether you look at bearish breakdowns in Nikkei, Hang Seng, KOSPI, DAX, Copper, etc. or European Bond Yields relative to U.S. ones, it’s all manifesting at this point. If either the data or market signals change, we’ll let you know."

Note: All of these trends were in place before President Trump uttered the word "tariffs," Cohn resigned or Daniels' latest Trump impropriety accusation.

Just take a look at global equity market performance...

Japan's Nikkei: -12% Since January Peak

https://twitter.com/KeithMcCullough/status/971326356796661761

China's Hang Seng: -10% Since January Peak

https://twitter.com/KeithMcCullough/status/971327114636120065

Germany's DAX: -10% since January Peak

https://twitter.com/KeithMcCullough/status/971328807167774730

Investing takeaways?

To get our #GlobalDivergences investing playbook subscribe to Market Edges (our weekly macro newsletter) or ETF Pro (our favorite ETF ideas).

Investors Need to Understand Our #GlobalDivergences Call - etf pro

© 2024 Hedgeye Risk Management, LLC. The information contained herein is the property of Hedgeye, which reserves all rights thereto. Redistribution of any part of this information is prohibited without the express written consent of Hedgeye. Hedgeye is not responsible for any errors in or omissions to this information, or for any consequences that may result from the use of this information.