November 21, 2022
Good morning,
Stocks and bonds in U.S. markets had a relatively quiet week last week with the S&P 500 Index sliding -0.61%, and the yield on the 10yr treasury going virtually unchanged (+1 bps). International markets continued rising as they played catch-up to domestic equities. For example, the international developed markets index (EAFE) was +0.26% wk/+9.98% mo and the emerging market index (EM) was +0.80% wk/+11.23% mo. Comparatively, the S&P 500 is up +2.56% for the month so far. All of the global indexes are now down high-teen percentages year-to-date. Consider the globe leveled for now.
Broadly speaking for global equities, the trend strengthened a little more last week. But we have yet to receive buy signals and bullish confirmations of short-term strength from indicators based on long-term momentum and moving averages. We remain cautious since we cannot yet assume that a long-term market advance has started.
Be well,
Mike