Group 1 - The firm Argus raised the price target on Prologis (PLD) to $135 from $128 while maintaining a Buy rating on the shares [1] - Recent momentum in Prologis shares is attributed to sector rotation and an improving industry outlook [1] - The analyst believes that the fundamentals can sustain this momentum moving forward [1]

Anfield U.S. Equity Sector Rotation ETF (AESR US) – Portfolio Construction MethodologyThe investment approach informing the actively managed Anfield U.S. Equity Sector Rotation ETF seeks to outperform over full market cycles by overweighting and underweighting U.S. large-cap sectors based on a macroeconomic and asset-cycle ranking methodology. The fund normally invests at least 80% of net assets in a diversified mix of U.S. equity sector ETFs and directly in U.S. equities, with flexibility to allocate acros ...

Core Viewpoint - iShares U.S. Basic Materials ETF (IYM) offers targeted exposure to U.S. companies in chemicals, metals and mining, packaging, and forest products, allowing investors to express views on upstream industrial inputs [1] Investment Strategy - The strategy tracks a market-cap-weighted basket of basic-materials equities, focusing on liquidity and sector breadth while acknowledging concentration and cyclicality [1] - Returns are linked to commodity price trends, capital-expenditure cycles, inventory restocking, and global manufacturing activity, with profitability sensitive to energy costs and currency fluctuations [1] Market Conditions - The fund is positioned to benefit during early-to-mid economic expansions when demand for raw inputs increases, serving as a satellite for inflation beta and a thematic tilt towards infrastructure and industrial upcycles [1] - It may be suitable for allocators using sector-rotation strategies or multi-asset managers seeking real-asset sensitivity within equities [1] Challenges - The fund may face challenges during late-cycle slowdowns and disinflationary phases, with a significant risk stemming from concentrated sector exposure that can exacerbate drawdowns when commodity prices decline [1]

Core Viewpoint - Day Hagan/Ned Davis Research Smart Sector ETF (SSUS) aims to achieve capital appreciation through a dynamic, multi-sector U.S. equity allocation while emphasizing risk management [1] Group 1: Investment Strategy - SSUS utilizes a quantitative, weight-of-the-evidence framework to evaluate macro, technical, and behavioral indicators, allowing for active allocation across sector ETFs [1] - The portfolio adjusts its concentration based on conviction shifts, with increased allocations to cash or defensive sectors during weakening conditions [1] - Returns are primarily driven by sector rotation and the disciplined trimming of underperforming assets, differentiating it from static cap-weighted benchmarks [1] Group 2: Target Audience - SSUS is designed for advisors managing multi-asset strategies and OCIOs seeking dynamic equity beta within established risk budgets [1] Group 3: Risk Considerations - A key risk to monitor is model-driven turnover and the associated trading costs that may arise during volatile market conditions [1]

[Chart courtesy of MarketWatch.com][Chart courtesy of MarketWatch.com]Moving the marketThe Dow started strong, but the Nasdaq felt the heat as traders kept rotating out of tech. Big AI names took hits: Nvidia down over 1%, Apple on track for its seventh straight loss, and Oracle off more than 2%.The bright spot? Defense stocks went gangbusters after President Trump floated a massive $1.5 trillion defense budget for 2027 (up huge from 2026’s $901 billion). Northrop Grumman soared 10%+, Lockheed Martin jumped ...

Group 1: AI and Technology Sector - AI stocks are expected to perform strongly in 2026, with companies like Micron and Nvidia leading the way due to increased demand for memory and storage solutions [1][2] - The demand for higher-bandwidth memory in data centers is anticipated to drive spending and further increase demand for memory components [2] Group 2: Banking Sector - The banking sector, particularly regional banks, is identified as a promising investment opportunity for 2026, despite the lingering effects of the 2023 regional banking crisis [3] - Analysts suggest that deregulation could enhance banks' ability to utilize capital and generate better returns [3] Group 3: Investment Methodology - The selection of the 8 best American stocks to buy and hold in 2026 is based on hedge fund popularity, focusing on stocks with at least 10% expected revenue growth [6][7] - The strategy of imitating top hedge fund picks has historically outperformed the market, with a reported return of 275% since May 2014 [7] Group 4: Company Highlights - **Tesla Inc. (NASDAQ:TSLA)**: Expected revenue growth of 14.4% in 2026, with a potential upside of 4.2%. Despite underwhelming delivery numbers, analysts remain optimistic about Tesla's future, particularly in robotics and autonomous driving [8][9] - **Capital One Financial Corp (NYSE:COF)**: Expected revenue growth of 18.2% in 2026, with a potential upside of 8.18%. Recent target price increases from analysts reflect bullish sentiment, and the company is expected to benefit from synergies following the acquisition of Discover [11][12]

Group 1: Keynote Insights at CES - Nvidia CEO Jensen Huang and AMD CEO Lisa Su will deliver keynote speeches at CES, which could significantly influence sentiment in the AI infrastructure sector heading into 2026 [1][2] - Huang's presentation will be closely watched for announcements regarding next-generation AI accelerators and data center roadmaps, as well as customer demand sustainability [1] - AMD's Lisa Su is under pressure to showcase the adoption of the MI300 series and competitive positioning against Nvidia in data center GPUs, with potential wins from cloud service providers enhancing AMD's credibility [1] Group 2: Economic Data and Market Sentiment - The week features a comprehensive economic data calendar culminating in the December jobs report, which will provide insights into labor market conditions and influence Federal Reserve policy expectations [2][3] - Key economic indicators such as ISM Manufacturing and Non-Manufacturing PMIs will offer insights into industrial and services sector health, impacting market sentiment and potential sector rotation [4][6] - The absence of major earnings reports allows economic data and CES announcements to dominate market focus, testing whether the market can maintain momentum from any year-end rally [2][6] Group 3: Inflation and Federal Reserve Policy - The week's economic data will provide multiple perspectives on inflation, with ISM prices components and wage growth data being crucial for assessing inflationary pressures [7] - The Federal Reserve's December meeting highlighted the need for sustained evidence of disinflation before committing to further policy easing, making this week's inflation signals particularly significant [7] - Any evidence of reaccelerating price pressures could impact rate-sensitive sectors and support the dollar, while benign inflation readings may provide relief for risk assets [7]

Group 1 - The travel and leisure sector is expected to benefit from a "normal" economy as sector rotation emphasizes companies with solid fundamentals [3][7] - Carnival Corporation (NYSE: CCL) has seen a share price gain of over 41% over the past five years, despite a significant drop in 2020 due to the pandemic [5][6] - Analysts forecast earnings growth for travel and leisure stocks, including Carnival, Booking Holdings, and Marriott, to be above historical averages, indicating renewed confidence in consumer travel demand [7] Group 2 - The travel demand remains strong despite concerns about consumer health, suggesting a potential reversion to historical earnings growth averages for travel-related stocks [4] - Carnival Corporation has experienced negative average annual earnings per share (EPS) growth of about 19% over the last five years, but there are signs of a potential turnaround [6] - The normalization of the economy could drive earnings recovery for companies in the travel sector, making them attractive for investors [5][7]

Core Insights - The market dip observed last month may be either temporary or indicative of a full sector rotation, suggesting a significant shift in market dynamics [1] - The author emphasizes a macro-oriented and data-driven investment approach, focusing on identifying trends that may not be apparent to mainstream financial media [1] Investment Strategy - The investment philosophy includes holding concentrated, asymmetrical, and high-conviction positions, with a strong emphasis on disciplined risk management [1] - Position sizing is highlighted as being more critical than security selection in successful investing [1] Market Trends - The author is on a quest to uncover narrative trends, which is referred to as the hunt for information alpha, indicating a proactive approach to market analysis [1] - The newsletter titled "The Macro Obsession" aims to provide insights into macroeconomic factors influencing investment decisions [1]

Core Viewpoint - Domino's Pizza has shown strong performance in 2025, with shares increasing 9.3% from November lows, currently trading near $434, and analysts are optimistic about reaching $550 per share by 2026 [2][6]. Financial Performance - The consensus 12-month price target for Domino's is $496.65, indicating a potential upside of 14.5% from current levels, with 20 out of 34 analysts rating it a buy or strong buy [3]. - Quarterly earnings growth is projected at 30.1% year over year, with Domino's beating Q3 2025 estimates with an EPS of $4.08 compared to the $3.95 consensus [4][8]. Strategic Initiatives - CEO Russell Weiner has highlighted the "Hungry for MORE" strategy, focusing on market share and operational excellence, supported by over 21,700 stores in 90+ markets, primarily operating under a capital-light franchise model [5]. - The company's emphasis on digital ordering and delivery aligns with consumer trends towards personalization and convenience [5]. Valuation Insights - Currently trading at approximately 25x trailing earnings and 22x forward earnings, reaching $550 would imply a valuation of about 32x forward earnings, which is a premium but justifiable given the 30% annual earnings growth [6][7]. Growth Drivers - Continued earnings beats are expected, with Domino's having beaten estimates by 3.3% in Q3 2025, and prediction markets showing 100% confidence in this performance [8]. - U.S. same-store sales grew by 5.2% in Q3, with international sales up 1.7%, indicating strong sales momentum [8]. - The company added 214 net new stores in Q3, with significant room for international expansion as it has only penetrated 90 markets globally [8]. Market Positioning - The restaurant sector underperformed in 2024, but renewed investor interest has been noted in late 2025, positioning Domino's as a quality leader in the market [9]. - Institutional ownership stands at 92.4%, with significant stakes from Berkshire Hathaway and Frontier Capital, indicating strong backing from institutional investors [9].