After struggling relative to its peers through the summer, Advanced Micro Devices (AMD) has rapidly climbed back up the relative strength rankings in the SIA S&P 100 Index Report. Currently, AMD is in 8th place, up 20 spots in the last month with the shares up 13.1%, compared with a 4.3% return for the corresponding index over the same time frame.
Relative strength analysis not only can help investors identify stocks that are outperforming their peers but also to avoid periods of underperformance. After climbing 6 spots in the last week and 12 positions in the last month, T-Mobile US Inc. (TMUS) has returned to the Green Favored Zone for the first time since November of 2022.
SPG returned to the Favored Zone of the SIA S&P 100 Index Report on November 16th, which was mentioned in the November 17th Daily Stock Report. Since then, the shares have climbed 8.6%, while the S&P 100 Index is up only 0.8% over the same time frame. SPG has also continued to rise in the relative strength rankings, having moved up another four spots in the last week to 17th place.
Yesterday, JPMorgan Chase & Co. (JPM) became the first US big cap bank to return to the Green Favored Zone of the SIA S&P 100 Index Report in some time climbing 2 spots to 25th place. JPM had been out of the Green Zone since August. JPM shares have gained nearly 10.5% in the last month.
Payments software producer Lightspeed Commerce Inc (LSPD.TO) has soared up the rankings in the SIA S&P/TSX Composite Report lately, leaving the red zone, driving up through the yellow zone and returning to the Favored zone for the first time since July of ’22, In the last month, LSPD.TO has popped 119 spots to 57th place.
Cisco Systems dropped out of the Favored zone on August 15, 2019 at $46.25, and has not been back there since. Over four plus years stuck in the wilderness, CSCO has gained a paltry 3.3% to yesterday’s close of $47.80. During the same time frame, the S&P 100 Index has climbed 68.3%.
Chipmaker Advanced Micro Devices (AMD) has returned to the Green Favored Zone of the SIA S&P 00 Report for the first time since July. A summer slide ended with the shares in the red zone but over the last six weeks, they have steadily clawed their way back. AMD finished in 24th position yesterday, up 4 spots on the day and up 27 places in the last month.
Continuing a steady climb up the rankings in the SIA S&P 100 Index Report which started back in January, retailer Costco Wholesale (COST) has returned to the Green Favored Zone for the first time since November of 2022. In the last month, COST has moved up 4 positions to 23rd place.
In this edition of Equity Leaders Weekly, we look at the significant of the current breakout by treasury yields and their impact on US equity markets. Last week’s “hawkish hold” from the Fed has sent shockwaves through world markets. Traded interest rates have soared in North America and Europe, with the US 10-year Treasury Note yield climbing toward 4.60%, its highest level since 2007. Rising yields and the prospect that central banks may keep rates higher for longer have also underpinned US Dollar strength, in turn weighing down other currencies along with commodities, bonds and equities.
Canadian Pacific (CP.TO) has been sliding down the rankings in the SIA S&P/TSX 60 Index Report since April. This may be seen as a sign of concern among investors that like the airlines, railroad earnings may be impacted moving forward by rising fuel and labor costs. CP.TO has dropped 6 positions within the Yellow Neutral Zone over the last month to 26th place, its lowest rank since June of 2022.