When we look at our US table, it should be no surprise that Large Cap Growth $IWF remains on top. Driven by a high weighting towards technology and consumer, these stocks have been on fire for a long time now.
When we plot growth relative to its counterpart, Value $IWD, we see a major breakout. But interestingly, yesterday value outperformed growth sizably.
Now, this ratio is retesting its breakout and the next move here has massive implications. If this breaks down, we could likely see more weakness in the overall market given growth's high weighting in the indexes.
Ultimately, the read here is going to depend on the consumer; their spending drives the economy and the overall market.
Weighing on investors minds right now is President Trump's reciprocal tariffs, which went into effect on August 1. Now every retailer has been put on notice.
Somebody has to account for these tariffs.
Jeff Macke has been involved with the consumer industry for his entire life, and tomorrow 2 p.m. Eastern he's going live to outline what investor's need to understand with the consumer industry.
