PNC Investment Corner - PNC
Investment Corner is your connection to PNC's investment expertise. Read the latest thinking from the investment strategy team and listen to key thought leaders from PNC talk about the impact of market or economic activity. From insightful commentary and economic updates to informative articles and videos, we invite you to explore these resources.

After Brexit, New Breginnings?

July/August

A REIT Of One’s Own

July/August

The New REIT Street

July

Argentina Returns

June

Back Where We Started

May/June

Smart Beta

May/June

Brexit Stage Left

May

April PNC Perspectives Webinar

April

Signs of Spring

April

Oil Prices – Going Down, Down, Down?

January/February

Election Year 2016 – Here We Go Again

January/February

The End of an Era: 2016 Outlook Part 1

December

  • Get Smart with Smart Beta (June 2016)

  • Back Where We Started Again (May 2016)

  • Oil Prices: Going Down, Down Down? (February 2016)

  • Election Year 2016 – Here We Go Again (January 2016)

September 26, 2016

September 19, 2016

September 12, 2016

September 6, 2016

August 29, 2016

July 2016: The New REIT Street Commentary

There is an upcoming change for REITs that has driven and will likely continue to drive funds into the asset class, which tends to have a positive impact on stock prices. Standard and Poor’s (S&P) has announced that REITs, currently grouped within the Financials sector, will be classified as a separate sector. Effective August 31, 2016, REITs will become the eleventh sector designated by S&P, Dow Jones, and MSCI in the Global Industry Classification Standard (GICS).

July 2016: The New REIT Street

Real estate investment trusts (REITs) have been one of the best performing asset classes this year. The FTSE NAREIT All Equity Index (FNER) is up 7.0% through June 24, 2016, and when the reinvestment of dividends in included, has returned 8.8%. This outpaces the S&P 500®, which has moved -0.3% in the same time period, up 0.8% on a total return basis.

June 2016: Argentina Returns Commentary

Once one of the world's largest economics, Argentina today is the twenty-first largest economy in the world and the second largest in South America. The country has a long history of political and economic woes, but it also has a new government that looks to be a turning point in Argentina's efforts to reinvent itself.

June 2016: Argentina Returns

After more than 15 years in technical default, Argentina re-entered the credit markets in April 2016 with a bond offering that was oversubscribed multiple times. It is no coincidence that in December 2015, for the first time since 1916, a nonradical or non-Peronist party candidate, Mauricio Macri, was democratically elected as president and sworn into office.

May 2016: Brexit Stage Left Commentary

On June 23, 2016, the United Kingdom (U.K.) will hold a referendum vote on whether to cede its membership in the European Union (EU). This movement, which began in whispers seemingly without much possibility of coming to fruition, has gained strength this year due to continued frustration with the perceived missteps of EU and U.K. leaders.

May 2016: Brexit Stage Left

On June 23, 2016, the United Kingdom (U.K.) will hold a referendum vote on whether to cede its membership in the European Union (EU). This movement, which began in whispers seemingly without much possibility of coming to fruition, has gained strength this year due to continued frustration with the perceived missteps of EU and U.K. leaders.

April 2016: Signs of Spring

Last month’s Investment Outlook, Market Madness, discussed the volatility and uncertainty that unhinged markets at the onset of 2016. A lot can happen in a month, and following a five-week rally in the markets, the S&P 500®has reversed its losses year to date and is up more than 11% from its February 11, 2016, low. One could simply ride the waves of bears and bulls, and curiously we notice how easily soothed investors can get with such a bounce back in the markets. But what does this really mean longer term? And do investors surrender to current market sentiment when making investment decisions.

March 2016: Market Madness

Markets kicked off 2016 amid a flurry of perceived global concerns, fueling a selloff in risk assets and amplifying volatility. Topically, concerns about global growth, China and its stock market, oil prices, the U.S. economy, the Federal Reserve (Fed) and the forward path of interest rates, and geopolitics are drivers of the uncertain outlook. The market response has been swift and certain, both as the market moved down and as it recovered. Our purpose in this outlook is to address concerns about how such markets can be interpreted and how to respond accordingly.

February 2016: New Investments Path with Smart Beta

In this month’s Investment Outlook, New Investment Paths with Smart Beta, PNC Chief Investment Strategist Bill Stone discusses a wide range of smart beta strategies which PNC believes can be an attractive addition to traditional investment portfolios.

January 25, 2016 – Earnings Snapshot 4Q15

Fourth quarter earnings season reached full speed last week, with 15% of S&P 500® constituents reporting thus far. Blended earnings of -6.0% (actual growth combined with consensus estimates) are trailing estimates from the start of the quarter, with the biggest drag from Energy and Materials. The percentage of companies beating expectations is relatively in line with levels seen over the past year at 72.4%. The earnings surprise of 270 basis points is a bit below levels from previous quarters, which tracked closer to 400-500 basis points. (Table 1). Excluding Energy, earnings are tracking a bit behind, although it is still early in the season, and based on historical upside, we expect this to turn positive as the season progresses.

January 7, 2016 - Global Market Unease

Global markets have had a tumultuous start thus far in the first few trading days of 2016, with a number of factors affecting market sentiment, triggering global equity markets to sell off. In the United States, the S&P 500® had its sixth-worst first trading day of the new year performance on Monday since 1928 (-1.53%). History has shown that reversion does tend to occur when markets have gotten off to a rough start, while we note the turnaround is typically not a quick occurrence.

December 2015: The End of an Era: 2016 Outlook Part I – Market Commentary

It is time once again for PNC Chief Investment Strategist Bill Stone to look back. In this month's Investment Outlook, The End of an Era: 2016 Outlook Part I, he reviews last year's projections for 2015 and begins to lay out his views for 2016.

December 2015: The End of an Era: 2016 Outlook Part I

It is time once again for PNC Chief Investment Strategist Bill Stone to look back. In this month's Investment Outlook, The End of an Era: 2016 Outlook Part I, he reviews last year's projections for 2015 and begins to lay out his views for 2016.

November 2015: Consumer Homecoming

After a tumultuous summer in the markets, marked by uncertainty surrounding global growth and growing skittishness around trying to time when the Federal Reserve (Fed) will raise interest rates, markets appear to have found solid ground once again.

Market Update: Third Quarter - Earnings Wrap Up: Earnings Continue to Inspire but Sales Fall Short

Third-quarter earnings season is slowly coming to a close for the S&P 500®. Overall, we would rate the season as relatively good. Earnings declined 1.7%, with most sectors exceeding suppressed expectations.

October 2015: The Tortoise and the Hare

The Federal Reserve (Fed) has long held the view that a move to normalization in terms of monetary policy would occur with a stronger U.S. economy.

September 2015: Bear in a China Shop

Bucking tradition, markets have not been given a quiet period of vacation this summer. In recent weeks, moves out of China have sent markets skittering. It all started with special drawing rights (SDR), or so it may appear.

August 2015: Questioning the Bulls and Bears

With markets attempting to digest and forecast a series of influential events around the globe, volatility picked up considerably in recent months. The broad-reaching implications from Greece and its debt woes;the continued U.S. economic recovery and the outlook for interest rates;the slowdown in China, the world’s second largest economy; and the impact of low oil prices, among other market events, are certainly a lot to follow.

August 24, 2015: The Summer of our Discontent

Prior to the market open today, the S&P 500® is about 7.5% off its closing high in May. This decline has driven the year-to-date returns on stocks into the red and sparked concerns that this could be an ominous sign of things to come. This Market Update reviews our reasons for expecting market volatility in the second half of 2015 and how we believe investors should react to the recent market decline.

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