Global Equity Internals: We Haven’t Seen These Readings Since 2011

Global Equity Internals: We Haven’t Seen These Readings Since 2011 by Steven Vannelli, CFA, Gavekal Capital Blog

Highlights

  • The majority of our technical indicators are exhibiting readings not seen since the fall of 2011.
  • Currently only 10% of developed market stocks and 9% of emerging markets stocks are above the 50-day moving average. Performance is still tilted in favor of developed companies over emerging. In the developed world 51% of stocks are outperforming the MSCI World Index while only 29% of emerging markets stocks are outperforming.
  • Over the last 50 days in the developed world 5 stocks fell for every stock that rose. In the emerging markets, the ratio is 10:1, where 10 stocks fell for every 1 that rose.  The selling has been indiscriminate.
  • Stocks, both developed and emerging, have been in a statistical slump with less than 50% of the last 50 trading days having been up days. Specifically, in the developed world 44% of trading days have been up days while only 42% of trading days have been up days in the emerging markets
  • In the developed world 75% of stocks are down more than 10% from 3-month highs, while in the emerging markets 89% of stocks are in down more than 10% from 3-month highs.

Up-and-Coming Small- and Mid-cap Portfolio Managers #MICUS (Morningstar Conference)

InvestorsNotes from Laird Bieger of Baron Capital, Mark Wynegar of Tributary Capital Management, and Amy Zhang of Alger Funds' presentation from the 2020 Monringstar Investment Conference. Q2 2020 hedge fund letters, conferences and more Up-and-Coming Small- and Mid-cap Portfolio Managers Our manager research team has been publishing its semiannual Morningstar Prospects report for several years. Read More


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