Equity Markets Update: January 2024

The latest insights into stock markets and sectors

Can investors still find alpha among public equities within today’s fast-changing macroeconomic environment? The papers in this collection, from Canvas, Dow Jones Indices, Hussman Funds, and others, have been written to help answer this question.

Long Periods of Boredom…Before the Storm (Research Affiliates)

Equity markets are going through a period of significant change. How alert should investors be? Past data can offer several important answers to this question.

Interest Expense: Source of Earnings Risk for U.S. Equity Market (Canvas)

The relationship between equities and interest rates remains a significant factor for allocators to consider. This paper explores the source of earnings for U.S. stocks in light of this.

Happy Days For How Long? (S&P Dow Jones Indices)

Last year, in addition to spectacular equity performance, investors also witnessed a strong recovery in fixed income compared 2022’s abysmal performance.

Getting Real about the EV Transition (KPMG)

Executives are less optimistic this year than last about how soon EVs can reach cost parity with conventional cars (not counting subsidies).

What Economy Be Just Right For Equity Markets? (Wellington Management)

In 2023, equity markets performed differently across the world. What drove these divergent performances?

Big Predictions For 2024 | Jim Bianco (Blockworks Macro)

Jim Bianco, Founder of Bianco Research, discusses how macro impacts all asset classes, including the stock market.

Against Taxing Stock Buybacks (Cato Institute)

Stock buybacks offer a powerful way to create shareholder value. The current U.S. administration wants to reduce this through taxation.

The Return of Buy-Low Sell-High (Hussman Funds)

Amid a market advance driven by the fear of missing out on an expected “Fed pivot,” investors overlooked that the total return of the S&P 500 has lagged Treasury bills.