Epstein Secrets

anagement. The MEGA Trends Index (MLDIMEGL Index,=+7.5% YTD), also clearly shows US equity sectors outperforming fixed i=come sectors. Techs (XLK), Telecoms (XTL), together with Healthcare (XLV) are the three sectors with strongest price momentum in the MEGA Tren=s Index. Health Care is the one sector wi

e sectors. Techs (XLK), Telecoms (XTL), together with Healthcare (XLV) are the three sectors with strongest price momentum in the MEGA Tren=s Index. Health Care is the one sector with improving Earning= Revision Ratios, Sales Revision Ratios and Management Guidance Ratios chttp://rsch.baml.com/r?q=k=SlqhpEN

higher oil would make Oil’s high DY sustainable. Healthcare is too cheap vs an improving sector growth outloo

clawed back around 2/3 of their underperformance vs Defensives. Of course it depends how you frame the question since we have included Utilities and Telecoms in the defensive basket. But when we downgraded Banks 10 days or so ago they had outperformed Food and Beverage by ~50% since the lows of early July.

hnology 647 14.9% 20% -9% Materials 24 40% 23% 3% Telecom 1 0.2% 29% 0% Utilities 2 0.3% 28% 0% S&P 500 ex.

tax of overseas earnings of US firms’ subsidiaries at reduced rates. Non-Financials in the S&P hold at least $1.2tn in overseas cash (mostly Tech and Health Care). If half was used for buybacks, this could add 3% ($4) to S&P 500 EPS. A redux of 2004 where companies used 80% of cash for buybacks may be less lik

deserves a larger premium. ¢ We continue to like Healthcare as it offers solid long-term earnings prospects w

nue to like Healthcare as it offers solid long-term earnings prospects with low volatility and strong balance sheets. We reiterate our underweight in Telecoms, where we expect ongoing weak revenue growth as well as margin pressure. ¢ We are negative on Consumer Discretionary as earnings expectations may be