During the past four weeks, we have witnessed record inflows for European equities, pushing the already extended Stoxx 600 index to new record highs. Now the market looks even more exuberant, and we can’t change our view that such a setup will be difficult to stomach in the coming weeks. The S&P 500 remains in a trading range, and as previously mentioned, the outperforming sectors cannot fully compensate for the weakness we are seeing in large cap technology stocks as well as

During the past four weeks, equity markets were able to capitalize on seasonality, which is usually bullish for the month of January. The performance of the Stoxx 600 (+3.07%) was driven by ASML Holding, which gained more than 30.00% and lifted the Dutch AEX 5.29%. The Swiss Market SMI underperformed (-0.60%) together with the German DAX (+0.20%). Another positive outlier was the UK FTSE 100 (+2.94%), which saw strong gains in the industrial and materials sectors. As mentione