Market is broadening out so expect to see new highs before year end: Carson Group's Detrick

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for some insights and stats on the markets let's bring in ryan dietrich chief market strategist at carson group ryan good to

Ryan Detrick (Chief Market Strategist) 00:06.390

see you good to be here always enjoy your fine cities

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and glad to have you along with the masses that that come this time of year it's

Ryan Detrick (Chief Market Strategist) 00:14.510

crowded out there

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so if we were to get to a new high in the S and P by the india we're talking about eight and a half trading sessions right until we're done it's like a three percent move so i mean what gives you confidence if not that we get all the way there that things still should get a lift

Ryan Detrick (Chief Market Strategist) 00:27.990

yeah you know i want to talk about yesterday for a second sure so you see the headlines down a lot tech down a lot there were more fifty two week highs on the NYSE yesterday than there were the day before the number of stocks of the S and P five hundred above their fifty day and

Ryan Detrick (Chief Market Strategist) 00:42.470

two hundred day actually increased yesterday

Ryan Detrick (Chief Market Strategist) 00:45.790

yeah we can go through more of them i mean the reality is we all complain only seven stocks going up you know mike we are seeing more of this broadening out and i get it tech is such a big part of it last comment you know you look at advanced decline lines they're still pretty

Ryan Detrick (Chief Market Strategist) 00:58.440

solid and one more for yesterday

Ryan Detrick (Chief Market Strategist) 01:00.990

i think there's a mantra under the bed with oracle and tech and AI we'd see it in the high yield corporate bonds higher corporate bonds are barely down yesterday they're less than one percent from all time highs this volatility is is legit but i don't think it's like the first

Ryan Detrick (Chief Market Strategist) 01:13.270

domino to fall before having to fall apart here yeah

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i mean you're seeing it i guess with specific credits like oracles but not maybe reading over into the broader credit picture it i i take your point that there has been this is what a broadening might look like which is a stalled index and by say stalled the S and P hundred

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closed yesterday at levels of two months ago

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basically but before last third quarter earnings season started and yet you have seen traction in parts of the market like banks and some cyclical stocks transport to even energy gets gets a bounce is that the formula we're looking for for next year or do you think it can be a a

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different story or can kind of tech reassert

Ryan Detrick (Chief Market Strategist) 01:52.350

leadership it's probably more this broadening out you know you mentioned tack if i along with you a week ago we'd be saying text up thirteen days in a row yeah this winter ever and now it's having one of his largest five day losing streaks and you know since april i guess so

Ryan Detrick (Chief Market Strategist) 02:03.750

really tech is where it was three months ago so we're not minimizing

Ryan Detrick (Chief Market Strategist) 02:06.190

it but i think it is just broadening out and i don't come on with you guys for a while saying and sure other guests have too look around the globe i mean there is a lot of strength around the globe yes we love we like the US or what US but we still have developed international

Ryan Detrick (Chief Market Strategist) 02:18.070

big question a lot of portfolio managers have is developed international going to keep outperforming next year or just one year blip like we've seen for the past twenty years is one year blips we

Ryan Detrick (Chief Market Strategist) 02:26.590

think you know hate to say this time is different for most dangerous words we do think this this this broadening out global theme like it is legit as we re accelerate the global economy next year

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we've had it's interesting sometimes you get the consensus for the year ahead like last year where it was like this is the year for equal weight over the the the market cap weight i'm not sure you had people confident about the global trade but it's really worked this year and

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so maybe a year later that starts to come together right i mean do you actually think that that we can get positive returns if the mag seven is not really outperforming

Ryan Detrick (Chief Market Strategist) 03:02.550

well we think we can and i think one of the big things everyone we talk about midterm year midterm year is the worst year the four year cycle down seventeen and a half percent peak to through all that stuff is out there but if you don't have a recession and that's our base case

Ryan Detrick (Chief Market Strategist) 03:13.550

you know the SP five hundred is up ten percent or more for the year seventy percent

Ryan Detrick (Chief Market Strategist) 03:17.910

of the time yes we're going to have a three strong years going into next year but one of the things we've talked about this is still a young bull market it's just entered its fourth year last fifty years and you've had a bull market at this point when five of them the average

Ryan Detrick (Chief Market Strategist) 03:30.590

has been eight years the shortest has been five so that's those just some numbers but to think this bull markets old is not

Ryan Detrick (Chief Market Strategist) 03:35.830

true then you look at something like germany germany just earlier this year broke out above levels from two thousand seven so there are some parts this mark and transports i mean my goodness transport just broke out last week for the first time you know several years so there's

Ryan Detrick (Chief Market Strategist) 03:46.310

some parts are gonna probably keep taking this baton and we like that