Market Rotation Accelerates as Manufacturing Rebounds and Al Volatility Rise
Executive Summary Stocks traded sideways this week before a late-week sell-off. The S&P 500 gained +0.5%, but it continued to lag the Russell 2000 and Equal Weight S&P 500. It’s now underperforming both indices by over -5% YTD, while the Nasdaq and Large Cap Growth are down over -2% YTD as investors rotate and market leadership broadens. Sector performance was mixed, with […]
AI Disruption, Fed Pause, and Rotating Equity Leadership: What’s Driving Markets Now
Executive Summary Over the next few months, the market is navigating a delicate balance of a strong economy, soft labor market conditions, AI disruption vs. destruction, and a Fed pause. The narrative centers on a near-perfect outcome: a soft landing, strong earnings growth, AI capex that both boosts productivity and generates revenue, and a tailwind […]
Markets Reprice Risk as Fed Signals Caution and Breadth Broadens
Executive Summary The S&P 500 returned +0.3% for the week, recovering from a mid-week wobble. The Fed held interest rates steady and signaled no rush to lower rates amid a strong economy, while tech stocks fell with a weak outlook from Microsoft with investors questioning the timeframe for returns on its AI-related spending. However, markets looked favorably […]
Tariff Turbulence Fades, Underlying Trends Hold Firm
Executive Summary Markets were choppy last week as policy headlines drove shifts in risk sentiment. Tariff-related developments sparked early-week volatility, though conditions stabilized as concerns eased. The S&P 500 finished the week in negative territory for the second consecutive week, where leadership continued to rotate beneath the surface. Small-cap, value, and equal-weight indexes outperformed, while technology […]
Markets Hold Steady as Value and Small Caps Lead
Executive Summary Equity indexes were mixed last week, with small-cap and value stocks adding to their year-to-date leads over large-cap and growth-oriented shares. The Russell 2000 and S&P MidCap 400 Indexes advanced, reaching all-time highs during the week, while large-cap indexes pulled back from the prior week’s record levels. Value stocks outpaced their growth counterparts for the third straight […]
2026 Opens with Momentum and Cautious Optimism
Markets started 2026 on a positive note, with major equity indices extending their 2025 gains as leadership shifted to smaller companies and cyclical sectors. The bond market was quiet and produced modest gains as Treasury yields inched lower, and corporate bonds outperformed as credit spreads remained tight. The tone across financial markets was risk-on but […]
Advisors Name the New Technology That’s Having the Biggest Impact on Their Firms
March 13, 2024 – Chief Investment Officer Stuart Katz was featured in Barron’s ‘Advisors Name the New Technology That’s Having the Biggest Impact on Their Firms.’ “The investment process can be very time consuming with regard to sourcing, evaluating, and underwriting investments,” Katz said. “Opto Investments’ technology solution has empowered our investment office and our advisors in a way […]
Bond Market Experts Offer Road Map for What Lies Ahead
October 24, 2023 – Chief Investment Officer, Stuart Katz was featured in etf.com to discuss ‘Bond Market Experts Offer Road Map for What Lies Ahead.’ “We believe long yields are rising for several reasons: Treasury supply is larger than expected with little concern for fiscal restraint, stronger-than-expected growth, September Fed Dot Plot and less foreign buyers including China and […]
Understanding the yield curve: why economists use it to predict recessions
October 24, 2023 – Chief Investment Officer, Stuart Katz and Chief Economist & Managing Director, Jeanette Garretty were featured in Fortune to discuss ‘Understanding the yield curve: why economists use it to predict recessions.’ “Every recession that we’ve seen has been preceded by an inverted yield curve,” says Garretty. “That’s not to say that every inverted yield curve has pointed to […]
Stuart Katz on CNBC Street Signs Asia
July 12, 2023 – Chief Investment Officer, Stuart Katz appeared on Will Koulouris CNBC Street Signs Asia to discuss volatility in domestic markets and what opportunities the emerging markets hold. “I think the reality is that you have a resilient U.S. economy and the markets have year to date ignored the idea that long duration […]
When Will Gas Prices Go Down?
June 13, 2023 – Chief Investment Officer, Stuart Katz was featured in The Wall Street Journalto discuss ‘When Will Gas Prices Go Down? Don’t expect cheap Covid-era gas prices to return any time soon.’ “A large share of retail gas prices is crude oil price per barrel,” says Katz. “When per-barrel prices go up, gas […]
Due Diligence Report
June 7, 2023 – Chief Investment Officer, Stuart Katz was presented in Citywire Due Diligence Report to discuss ‘Betting On: Dividend Growth.’ “Political risks [both] domestic and abroad are also elevated,’ Katz says. ‘As a result, we intentionally allocate to equity strategies with a focus on dividend growers, which have proven over time to be […]