Deutsche Bank – The S&P 500 Could Be About To Roar Higher

Days after the S&P 500 broke out of a historically unusual tight trading range for the past three months, Deutsche Bank is predicting a surprise move up for the index.

“We see a broader-based more sustainable move up in the S&P 500 on an imminent turn-up in growth and a positive data surprise phase,” the German bank’s global research team said in a newsletter last week. “Our 1-month surprise index (MAPI) leads and is pointing to a turn up in the 3-month CESI,” it added.

[dalio]

The MAPI uses only the last 30 data releases, weighing each equally. In contrast, the Citigroup...