Amid Broad Break Down, Still Finding Areas Of Improvement

Commodities are climbing even as stocks overall look stuck.

Key Takeaway: Breadth trends continue to deteriorate and equities overall continue to struggle. But pockets of strength can still be found, both in the equity market and elsewhere.

More Context: Our global trend indicator was making new recovery highs at the end of July. Now it's dropping to its lowest level of the year. Conditions around the world and in the US have deteriorated rapidly. Last week saw more new lows than new highs at the sector, industry group and stock level in the US. But we are still seeing some pockets of strength. The percentage of ACWI markets hitting new 13-week lows has soared, but four markets (Denmark, Egypt, Turkey, and India) climbed to new 52-week highs. Commodities made another new 13-week high and are arguing to be part of the asset allocation conversation.

Go Deeper: Our latest Relative Strength Rankings report shows commodities benefitting from both improving absolute trends and continued relative strength gains and identifies areas of leadership even as equities overall struggle.