Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.
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When I say “looks”, that’s not a qualitative and touristy touchy/feely type observation. That’s simply what The Signal says it looks like. In macro, relative 1-month price momentum in particular matters. On that score, Germany in particular, continued to look relatively weak with the DAX down -1.4% last week and down -0.8% in the last month vs. plenty of Global Equity alternatives that have pounded that. What’s also been lagging on both and absolute and relative basis in US Equity Sector Styles are: A) Utilities (XLU) down another -0.3% last week to -6.4% in the last month = Bearish TREND @Hedgeye … and Why are Utes and REITS signaling Bearish @Hedgeye TREND and US Small Caps (Russell 2000 up another +1.0% last week to a new all-time high) Bullish TREND? A: #Quad2. |
