What we’re reading (8/10)
“Value Spreads Are Back To Tech Bubble Highs: Is Everyone Out There Cray-Cray?” (Cliff Asness, AQR). AQR says value spreads are at an all-time high.
“A Small-Cap Renaissance?” (All Star Charts). “Are you seeing Small-caps breaking out to new 4-month highs relative to Large-caps? This underperformance in Small-caps began in Q1 2021 which, among other things, sparked the beginning of the bear market. This week would mark the 18-month point, if a bear market is even something we’re still in.”
“The Nasdaq Composite Is Back In A Bull Market” (Wall Street Journal). “The Nasdaq Composite is officially in a new bull market. The technology-focused index rose 2.9% Wednesday, reflecting a rise of more than 20% from its low in mid-June. It climbed with other major indexes after a softer-than-expected inflation reading raised investors’ hopes that the Federal Reserve may soon moderate the pace of its campaign of interest-rate increases.”
“How Big Is The Housing Shortage?” (Market Urbanism). “Two teams of researchers recently released estimates of the U.S. housing shortage – and they differ by a factor of five. Is the national shortage 20 million homes or just 4 million? With a range that big, both published by pro-housing groups, you’d be forgiven for thinking this is an exercise in futility.”
“How This Investing Startup Is Making A Play For Struggling Fintechs In Hopes Of Scaling Its Business Quicker” (Insider). “Investing startup Titan's looking to absorb a few fintechs to scale up, co-CEO and co-founder Joe Percoco told Insider in an interview.”
“Inflation Drops To Zero In July Due To Falling Gas Prices” (Axios). To be clear, that is month-over-month. Year-over-year was +8.5 percent.
