From the desk of Steve Strazza @Sstrazza
Check out this week's Momentum Report, our weekly summation of all the major indexes at a Macro, International, Sector, and Industry Group level.
By analyzing the short-term data in these reports, we get a more tactical view of the current state of markets. This information then helps us put near-term developments into the big picture context and provides insights regarding the structural trends at play.
Let's jump right into it with some of the major takeaways from this week's report:
* ASC Plus Members can access the Momentum Report by clicking the link at the bottom of this post.
Macro Universe:
- Our macro universe was positive across the board again this week as 70% of our list closed higher with a median return of 0.64%.
- The US 10-Year Yield $TNX was the big winner, closing out the week with more than a 5% gain and fresh 13-week highs.
- Once again, the biggest loser was Lumber $LB with a weekly loss of -12.15%
- There was no change in the percentage of assets on our list within 5% of their 52-week highs - currently at 66%.
- 64% of our list made new 4-week highs and 28% made new 13-week highs.
- The median asset in our macro universe is 2.1% below its 52-week highs.
- 53% of our macro universe closed higher than their prior week's highs.
- The percentage of assets in bullish momentum regimes is still near year-to-date lows with a current reading of 53% (2% change from last week).
- Leadership continues to be with US equities.
International Universe:
- International Equities were hot again this week as 72% of our list closed higher with a median return of 0.54%.
- 58% of our international universe closed above their prior week's highs.
- Nigeria $NGE was the leader this week with a 5.64% gain.
- Brazil $EWZ was the biggest loser again, dropping a massive -9.56%.
- The percentage of assets within 5% of their 52-week highs rose by 3% and is now at 55%.
- Meanwhile, the median asset in our international universe is 4.5% below its 52-week high.
- Momentum regimes are still skating on thin ice from a structural perspective, with only 58% of the ETFs on our list in bullish territory.
- 63% of the universe posted new 4-week highs.
- New all-time highs from Canada $EWC, US $SPY, Saudi Arabia $KSA, and Israel $EIS.
US Sector Universe:
- Our sector universe had an impressive week as 89% of our list closed higher and put up a median return of 1.60%.
- Large Cap Real Estate $XLRE was the big winner, closing with a 3.23% gain.
- The biggest loser of the week was Small-Cap Materials $PSCM which dropped by -2.32%.
- 72% of our sector list made fresh 4-week highs, 40% made new 13-week highs, and 32% made new 52-week highs.
- The percentage of assets on our list within 5% of their 52-week highs rose from 64% to 77%.
- 62% of our sector universe closed higher than their prior week's high.
- The outlook remains stable from a structural perspective as 68% of our list is in a bullish momentum regime.
- 21% of our sector list closed at all-time highs.
US Industry Universe:
- Our Industry universe saw continued strength this week with 73% closing higher with a median return of 1.28%.
- This week's biggest winner was Healthcare Providers $IHF +4.68%.
- The biggest loser for the third consecutive week was Airlines $JETS which dropped -4.16%.
- 60% of industry groups made fresh 4-week highs, 40% made new 13-week highs, and 29% made fresh 52-week highs.
- The percentage of our list in bullish momentum regimes fell slightly this week and has a current reading of 71%.
- 62% of the assets on our industry list are within 5% of their 52-week highs (8% gain from last week).
- The median asset in our industry universe is 4% below its 52-week highs.
- 47% of our industry universe closed higher than last week's high.
- Food & Beverages $PBJ posted a bullish reversal week.
That's it for this week's highlights!
