By: John E. Charalambakis | On: March 23, 2017 |

Market Valuations and Reflationary Expectations: What Can we Learn from a London Art Exhibition?

A recent investors’ survey done by Bank of America Merrill Lynch found that more and more investors believe that stocks are overvalued. Expectations about earnings, taxes, spending, and regulatory regime, […]

By: John E. Charalambakis | On: March 15, 2017 |

From Convergence to Divergence: Emerging Markets in Expectation of Higher Rates

Over the course of the last few months, we observe that not only developed markets have been enjoying good returns, but also emerging markets rise along with them. As the […]

By: John E. Charalambakis | On: March 9, 2017 |

Reflation Trades and Upbeat Sentiment: Rates, Oil, and the Containment of Risks

It seems that analysts around the world are singing from the same chorus book, called Reflation. If we could define the latter we would say that it refers to a […]

By: John E. Charalambakis | On: March 2, 2017 |

Has the Unleashing of Animal Spirits Time Arrived? A Little Caution due to the Doom Loop

A year ago equity and commodity markets were in a panic mode. Chinese tremors, fears of deflation, oil prices below $30 a barrel, declining commodity prices (such as copper), and […]

By: John E. Charalambakis | On: February 22, 2017 |

U.S. Economic Developments Meet European Politics: Upswing Targets Convergence

The equities market continues its upswing trend and as its tide rises, other equity markets around the world follow it too, given that expectations and economic fundamentals in other places […]

By: John E. Charalambakis | On: February 16, 2017 |

The Enigma of a Divergence: The Uncertainty Index vs. the Volatility Index

In last week’s commentary we wrote that the earnings, production, and income pictures look good and that the market has legs to make further earnings. The market continued in its […]

By: John E. Charalambakis | On: February 8, 2017 |

Corporate Earnings, Production, and Hourly Wages: No Enigma to Decipher

More than 65% of companies that have reported earnings in the last few days have beaten estimates, which is a little bit higher than the long-term average. So and as […]

By: John E. Charalambakis | On: February 1, 2017 |

Worldviews, Solipsism, and Chissiaran: A Random Walk Down the Boulevard of Invincibility

Collective hallucinations are dangerous. Undershooting carries risks, but overshooting could have much more serious consequences. Ignoring history is detrimental. Hubris backfires and lack of foresight demonstrates foolishness. My fear is […]

By: John E. Charalambakis | On: January 25, 2017 |

New Market Highs and Underperformers: Fundamentals Meet Technical Charts

The market celebrated a Dow Jones Industrial Average that reached 20,000 yesterday. Is this too much of good news? Is it sustainable and could it be that investors are carried […]

By: John E. Charalambakis | On: January 19, 2017 |

Shifting Regimes and Changing Winds: Reflections on Trade and Market Implications at the Dawn of a New Era

One of the main issues debated at the Davos conference this week is the possibility of a new trade regime, as President Trump takes office. Discontent with globalization and the […]