Global Investing Insights: 5 Macro Themes I’m Watching

The markets continue to be noisy and indicators are mixed for equities. There’s reason to be on alert as this rally is getting extended.

But the S&P 500 (INDEXSP:.INX) continues to hold near its highs.  And until it breaks its uptrend in a meaningful way, investors should simply stay tuned. As well, there’s a lot going on in the global markets… along with several other regions and assets to follow and invest in.

Every week, I highlight 5 Macro themes / indicators that investors should keep their eye on…

Here’s my latest run-down:

1.  OECD Leading Indicators:  Taking aggregate, breadth, and diffusion views on the global OECD CLIs presents a picture of an improving global economy, and supportive cyclical outlook for global equities.

2.  SLOOS Scrutiny:  Despite some slightly contradictory signals on the economy, the lending/credit surveys point to solid economic activity, easy credit conditions, and a positive outlook for risk assets.  Check out the key charts to watch and a particularly interesting graph on jobs growth outlook.

3.  Crude Oil Risks:  The charts and indicators we track tell a different story than the headlines, get a copy of the report to see what indicators you should be monitoring.

4.  European HY Credit:  European HY credit spreads are at rock bottom thanks to the ECB’s distortive influence on pricing; as a minimum it makes a good relative value case for European equities. We’ve developed a set of indicators to inform strategy on EU HY Credit.

5.  AUDUSD (and AUDNZD):  Our analysis and charts lay out the base case for AUDUSD and AUDNZD over the medium term based on multiple factors from valuation to sentiment.

Thanks for reading.  To get access to the full version of Macro Themes, inquire here.

Twitter:  @Callum_Thomas

Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.