Weekly Chartology And Decoupling4Eva
We are back to 2007 - at least such is the case if one reads recent Goldman pieces that try to sound optimistic, such as those by head strategist David Kostin. While all recent Goldman analyses on the economy are downright nasty, the only way to goalseek a favorable view is by going back in time to those lofty days of the summer of 2007 when the answer to everything, including a Baltic Dry index in the stratosphere and other sundry illusions was the decoupling theme, either of China, or of the entire developed world. In his latest weekly kickstart piece, David Kostin pushes precisely that. And while we do learn that the performance of the recently incepted trading strategies continues to disappoint ("Our low operating leverage trade (long <GSTHOPLO> / short <GSTHOPHI>) was down 0.5% and our dividend growth trade (long <GSTHDIVG> / short SPX) was down 0.7%."), there is much hope... as long as investors have the mindset of the Norwegians who invest for infinity... or at least 2030. "Over the next two decades emerging equity market capitalization could increase substantially in absolute terms and overtake developed markets. Our Chief Asia-Pacific Equity Strategist Tim Moe and his colleagues just published a report that forecasts the changing landscape of emerging market equities through 2030 and explains why developed market asset managers need to own more EM equities." Alas, decoupling is and always will be a myth. And, no this time it is not different. Anyway, all the charts that are fit to print and then some in this weekly summary chart compendium.