Earlier this week, in the Monday Morning Kickoff, we shared expectations for a much more subdued week, with only a few key economic data points and a slower speed of earnings reports. Talk about not getting what you expect.

Once again we’ve got conflicting views on whether the Fed will hike interest rates in June. We also saw the continued strengthening of the US dollar, and on the back of a greater than expected inventory drawdown, oil prices are nearing $50 a barrel. Combined with the late week rally we saw last week that snapped the prior 3-week losing streak in the market, the S&P 500 is up more than 2 percent over the last few days.

In this week’s edition of Tematica Investing:

• The ping-pong game over the Fed potentially boosting rates as soon as June continues this week. We will continue to digest data and position theTematica Select List accordingly, balancing the renewed market melt up that has only served to stretch valuations. Read More >>
• We are adding Amazon (AMZN) shares to the Tematica Select List given its pole position in our Connected Society investment theme, and note the company is also benefiting from Cash Strapped Consumer and other thematic tailwinds. Our price target is $880, and for now we will hold off with a stop loss as we look to use any weakness to scale into this core Connected Society holding. Read More >>
• This week’s Ask Tematica focuses on whether the US economy is indeed at full employment. Read More >>
• Rounding out the issue is Thematic Signals, which shows that once again there is no shortage of confirming data points for our thematic investing perspective. Read More >>

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