Via a Deutsche Bank note on Friday saying, in brief:
- We close out a difficult week with Amazon’s earnings from last night setting a more positive tone
- a lot of concerns over where we are in the cycle
- However, one has to consider how much seasonals have played a part recently.
- The S&P … stagnation since the summer is not unusual. In an average year, equities flatline from early July to late October with the second half of that typically seeing declines.
- On average today is the day it all turns around with the Santa rally commencing thereafter.
DB is not convinced but does acknowledge the seasonals.