US Equity Market Looking Increasingly Expensive

Japan TMT Analyst

Pelham Smithers

Market Intel on Asian Tech with a Japan focus

Pelham Smithers Associates

Founded in 2009, Pelham Smithers Associates (PSA) provides market intelligence on Asian technology, focusing in particular on Japan. The industries covered by our team of specialists are: consumer electronics, telecomms, pharmaceuticals, internet, electronic parts and materials, automotive technology, retail and capital goods. 

Research is provided by the following:
Pelham Smithers: Macro, consumer electronics, telecoms & pharma
Joel Scheiman: Electronics materials / components
Julie Boote: Autos
Will Nestuk: Capital goods, machinery & transportation equipment parts
Thao Nguyen: eCommerce, internet content, marketing & advertising

Thematic (Sector/Industry)

United states / Thematic (Sector/Industry)

<p>In last week’s US macro insight (<a href="https://www.smartkarma.com/insights/us-equity-market-looking-increasingly-expensive" target="_blank" data-smartkarma-citation="insights:10800">US Equity Market Looking Increasingly Expensive</a>) we argued that stocks looked 80% overvalued by historic standards, and exhibited much higher than average year to date returns as well. Both assessments hold true today.</p><p>Are stocks predicting bonanza? A similar picture shows in the credit market with low compensation for default risk in the form of credit spreads, and upward sloping credit curves, with risk premium increasing with the bonds' maturity as a sign of…</p>

In last week’s US macro insight (US Equity Market Looking Increasingly Expensive) we argued that stocks looked 80% overvalued by historic standards, and exhibited much higher than average year to date returns as well. Both assessments hold true today.Are stocks predicting bonanza? A similar picture shows in the credit market with low compensation for default risk in the form of credit spreads, and upward sloping credit curves, with risk premium increasing with the bonds' maturity as a sign of…

US Macro - Bonds Pointing Down, Equities Pointing Up, Which Is Right?