A complicated backdrop for August. Geopolitical concerns persist. AMZN’s quarter validates the AI trade as Technology shares have reached deeply oversold levels. We’re expecting investors to show renewed interest in Growth shares on any break in inflation pressure.
ETFSector.com August Outlook: S&P 500 Read More »
After consolidation in June in reaction to a more hawkish Fed., stronger employment data and easing interest rates present a more bullish setup for July.
ETFSector.com July Outlook: S&P 500 Read More »
Equities sit near all-time highs. Rates and commodities prices have stayed contained and the AI trade continues to flourish. The Elev8 model is positioned for bullish continuation in June with a slight tilt towards inflation hedging.
ETFSector.com June Outlook: S&P 500 Read More »
Some concerns for the bull trend remain as a weak consumer and high input prices persist. However, investors continue to display strong risk appetite in the near-term and AI FOMO is again present and motivating rotation into Technology shares.
ETFSector.com May Outlook: S&P 500 Read More »
Equities corrected in March. While we expect some bottom-fishing activity, we see the main headwinds (crude supply shock, faltering cycle) still in place. A strong Q1 earnings season could change the narrative, but that’s a lot to expect given ongoing Middle East conflict and some signs of economic deceleration.
ETFSector.com April Outlook: S&P 500 Read More »
Markets are rewarding cash flows over narratives as earnings beat expectations and manufacturing improves. Leadership is broadening toward industrials, financials, and energy, while software and speculative growth remain under pressure. Rotation, not recession, continues to define the February tape
Elev8 Model Input Scores: January 2025 The table below shows the Elev8 model’s scores for January. The big development in December was a cooler CPI print on the back of the Fed’s rate cut. The combination of the two events drove rotation towards cyclical positioning despite equities entering the month in a somewhat vulnerable position
Elev8 Sector Rotation Model Portfolio: January Positioning Read More »
A supportive Fed, a cooler CPI print and an economy still near full employment have historically been a constructive backdrop for equities. We remain constructive as the calendar turns to 2026 with inflation concerns receding.
ETFSector.com January Outlook: S&P 500 Read More »
Economic softness, rising expectations of Fed easing and questions about the durability of the AI outperformance trade make December a pivotal month for equities. We’ve rolled over out Tech Sector long as AI names are near-term oversold. We have hedged that position by going long low vol. and commodities related sectors in December.
ETFSector.com December Outlook: S&P 500 Index Read More »
Upside participation has narrowed at the stock level over the past two months, and we think there is elevated risk of rotation/correction. That said, Tech Sector momentum remains the motive force for the bull trend and we are seeing FOMO buying even on shallow pullbacks in AI names. We enter November bar-belling long Tech exposure with more low vol. allocation than we had previously and we’re short consumer facing exposures.
ETFSector.com November Outlook: S&P 500 Index Read More »
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