Bank of America

Bank of America

S&P Futures At Record High After "Shocking" UK Election Result

"Triple Threat Thursday" is now a distant memory, with both the ECB and Comey testimony "non-events" for the market, although the UK general election was a shocker in which contrary to expectations, Theresa May lost her majority in Parliament, sending sterling tumbling overnight and prompting even more confusion about the UK's political fate and the future of Brexit.

The Tech Sector Is Now The "Most Overweight It's Ever Been"

"May's best-performing sector-saw its P/E expand most last month. At 19x, it trades at its highest levels post-crisis, and is now the most overweight it has ever been, by large cap active funds in the history of our data - particularly FANG stocks."

BofA: "If Bonds Are Right, Stocks Will Drop Up To 20%"

"If the bond markets are right and growth slows, then we think earnings growth would likely return to the path seen in recent years. If we fade earnings growth back to zero in 2018/19 and keep markets on current 2018 multiples, we find 13% downside potential for equity markets."

The Answer To El-Erian's Quandary: It's "A Perfect Storm" Melt Up

"There seems to be a perfect storm of so so growth and falling inflation, enough for the Fed to tighten modestly but being at risk of over doing it.... the easing in our financial conditions index is one of the most extremes on record, thanks to Fed tightening!" 

Banks Tumble After BofA, JPM Warn Revenue Will Be Down As Much As 15%

The banking sector is sliding after JPM CFO Marianne Lake warned that contrary to expectations for an ongoing rebound in revenue and profits, the bank's second quarter revenue has been 15% lower from a year ago. And while she said that US economic figures are "solid, not stellar", she blamed the same thing that has been the nightmare of daytraders everywhere: collapsing volatility. 

Paul Singer Warns "All Hell Will Break Loose"

"Given groupthink and the determination of policy makers to do ‘whatever it takes’ to prevent the next market ‘crash,’ we think that the low-volatility levitation magic act of stocks and bonds will exist until the disenchanting moment when it does not. And then all hell will break loose." - Paul Singer

The First Crack Appears In The Second Tech Bubble

In the loudest alarm yet that the second tech bubble may be about to pop, investors pulled more than $716 million from the most popular tech ETF - the XLK- last week, its largest weekly outflow in over a year.

Visualizing The Expanding Universe Of Cryptocurrencies

Bitcoin is the original cryptocurrency, and its meteoric rise has made it a mainstay of conversation for investors, media, and technologists alike. But the true impact of Bitcoin is actually far more reaching than this – it’s actually helped to birth new markets for over 800 other cryptocurrencies and assets that are available for online trading. And while the market for bitcoins is worth nearly $40 billion itself, the rest of these cryptocurrencies are actually worth even more in combination.