The Great Bull Market Run Of 2019 And 2020 May Only Be Starting

Stocks had a solid showing this week, with the S&P 500 finishing the week higher by roughly 1%. For September the index has risen by over 3%. However, the real star this past week was the Russell 2000, which is now up over 5.5% for the month.

Global Growth Trade

As I have been talking about all week in the member area, the sector rotation that has been taking place tells a tale of improving global growth. The top 5 sectors are all part of a global growth trade, with the semis, energy, industrials, and materials, four of the top five. Financials come in at number 2 rising by nearly 6% so far this month. Partially that is because of the rising interest and widening spreads we have recently witnessed. But rising rates can also be interpreted as an expectation that the economy is stronger than previously perceived in August. Subscriber content: Sector Rotation Speak Of A Return To Growth – first two weeks for you to try.

Commodity Strength


When digging deeper, we can see critical commodities, such as copper, which has recently broken out of a multi-month down, a significant global growth metal. Should copper rise above $2.70 this week, it has the potential to move up to around $2.80.


Iron Ore

Iron ore prices have started to rise once again too, after collapsing in August.

iron ore


Soybean prices have also been on the rise in recent days, an indication that perhaps China has started to come back into the US markets, as widely spoken about over the past week.



South Korea

Key export economies stock markets are on the rise. The Korea Kospi rose above a multi-month downtrend and has further to rise before reaching its next level of resistance.



The Japanese Nikkei is on the verge of breaking out too. Japan, like South Korea, is an export-driven economy.

japan, nikkei

Emerging Markets (EEM)

The emerging markets ETF EEM is also on the cusp of a significant breakout.

eem, emergining markets

All-World (ACWI)

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The Outlook For Stocks May Be ...

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