AM 1150 Kelowna - Radio Rallies & Reversals

I thought I'd share with you some US equity strategy insights from Bank Credit Analyst. They've got an overweight recommendation on software stocks based on: 1. Relative to the S&P500, the share price ratio has been on an upward sloping trend for the past three decades but is currently trading one standard deviation below the long-term trend; 2. The conditions to drive it to trend and above, are developing; 3. Increased M&A has helped industry pricing power; and 4. the impending economic slowdown bodes well for a rebound in relative business outlays on software. If you're interested in some names, give us a call at 250-868-5525 or visit yourlifeyourplan.ca.

North American stock indexes have been trading in the red in advance of the FOMC rate announcement. On the news, US stock indexes have moved into the green, while the TSX Composite isn't far behind. As expected, there is no change to the Fed Funds Rate at 25 basis points. I'll try to have more commentary on the commentary tomorrow.

GB