bullish
S&P500 Rebalance Recap - Strange Path Ends As Expected.
475 Views20 Dec 2021 15:24
SUMMARY
- The S&P500 rebalance traded with appropriate-to-expectations volumes, but the path from announcement to actual event was somewhat surprising.
- Historically, DELETEs underperform peers and index from announcement to event date, including an initial jump weaker. This time they saw initial strength, but fell hard on the last day.
- "The trade" from here, statistically speaking, would be to buy the S&P500 DELETEs (Leggett & Platt (LEG US), Hanesbrands Inc (HBI US), and Western Union Co (WU US)) against index.
Begin exploring Smartkarma's AI-augmented investing intelligence platform with a complimentary Preview Pass to:
- Unlock research summaries
- Follow top, independent analysts
- Receive personalised alerts
- Access Analytics, Events and more
Join 55,000+ investors, including top global asset managers overseeing $13+ trillion.
Upgrade later to our paid plans for full-access.
or
Already have an account? Sign In Now
Discussions
(Paid Plans Only)
x