Economic Research - John Rothe

A Major, Long Term MACD Signal is Forming

by John Rothe | May 23, 2023 | Investment Research

The popular MACD indicator is nearing a monthly buy signal on the QQQ ETF. We take a look at the historical significance of this and what it may mean for the US stock market going forward.

Economic Headwinds Facing Investors

by John Rothe | Apr 5, 2023 | Economic Research

The stock market had a strong start to 2023, with the S&P 500 finishing January with nearly a 6% gain. However, that trend began to reverse, as investors started to weigh the impact of numerous economic changes and challenges – such as mixed inflation data, bank failures, and a continued shortage of workers.
Investors now need to pay attention to possible economic headwinds that can impact their portfolios.

White Paper: Using Volatility to Add Alpha and Control Portfolio Risk

by John Rothe | Feb 14, 2023 | Investment Research

Volatility is a well-known and widely-studied aspect of financial markets, and has been the focus...

Value vs Growth: Is A Decade of Value Leadership Coming?

by John Rothe | Jan 24, 2023 | Investment Research

Since the November lows, the relationship between Growth and Value names has traded place. If we take a look at the relative strength comparison between S&P 500 Value and S&P 500 Growth, we can see that after the Tech Collapse in 2000-2001, Value stocks outperformed Growth stocks on a relative basis up until the Great Financial Crisis. After 2009, Value underperformed Growth — until the stock market lows in November 2022.

Is International Finally Ready to Shine?

by John Rothe | Jan 18, 2023 | Economic Research, Investment Research

Today international stocks currently trade at more attractive valuations than U.S. stocks after a decade of underperformance. U.S. stocks trade at a higher next 12-month price-to-earnings multiple than international stocks. In addition, U.S. stocks trade more expensive against their historical valuation range, as evidenced by the 10th to 90th percentile range of historical price-to-earnings multiples.