7 Interesting Charts To Get You Ready For The Second Half Of The Year

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In a report titled View Of Half Time, Deutsche Bank’s Binky Chadha lays out a series of charts on what the market has done this year, and what that might mean for the second half.We’ve gone through and selected the few that we think are the most interesting and useful for investors.

First, the S&P has been VERY correlated with economic indicators. Not much lag at all.

The good news is that the latest data is surprising more and more to the upside.

It helps that economists have slashed their forecasts aggressively, making surprise easier

The stock market is still super-cheap from a PE basis.

Stock buybacks are up, but so are fund inflows, so those cancel each other out a bit

Cyclicals have badly lagged defensives in recent months

But as the economy turns up, that's likely to reverse.

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