Hedgeye Risk Management
At D.B. Root & Company, we employ cutting edge research from one of the industry’s true innovators, Hedgeye Risk Management.
Q2 2016 Macro Themes Overview
#TheCycle: With the recessionary industrial data ongoing, employment, income and consumption growth decelerating, corporate profits facing a 3rd quarter of negative growth and Commercial and Industrial credit tightening, the domestic economic, profit and credit cycles are all past peak and continue to traverse their downslope. We’ll update our cycle view and detail why growth slowing – and its associated allocations – remains the call as the U.S. economy faces its toughest GDP comp of the cycle in 2Q16.
#BeliefSystem: The notion that central bankers are increasingly pushing on a string is being progressively priced into global financial markets – with one lone holdout: U.S. equities. While we admire the blind faith of domestic stock market operators in Yellen’s ability to keep “the game” going, we are keen to cite specific risks that marginally dovish policy in the U.S. will fail to overcome the depths of the domestic economic, credit and corporate profit cycles.
#DemographyDebates: We’re entering an election season that could hugely impact markets – and probably not in a good way! What’s the impact of a Clinton or Trump victory and how will market practitioners react? We’ll also discuss housing and the impact of millennials and immigrants in shifting demand. Finally, we’ll exam a recurring theme of U.S. growth slowing – what’s under the hood for earnings and inflation expectations in 2016?
About Keith McCullough
Prior to founding Hedgeye Risk Management, Keith built a successful track record as a hedge fund manager at the Carlyle-Blue Wave Partners hedge fund, Magnetar Capital, Falconhenge Partners, and Dawson-Herman Capital Management. Visit the Hedgeye website for more information.
See David Root’s interview with Hedgeye CEO Keith McCullough
Recently D.B. Root & Company CEO David Root appeared on Hedgeye TV with Hedgeye CEO Keith McCullough. They discussed the relationship between the firms, client service and the state of the industry.