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A rebalancing model tracked by Guy LeBas indicates net selling in USD duration and simultaneous net buying in equities at the end of the month.
LeBas also highlights that the Bloomberg Barclays Aggregate Bond Index, known as the Agg, has recovered almost all of its three-month relative underperformance against the S&P in the past two weeks.
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LeBas has previously identified earnings releases as key drivers for market signals, noting that JB Hunt's earnings results could provide insight into fuel-led inflation trends. He has also tracked sector moves, highlighting when the S&P Biotech index suffered a rare two standard deviation drop. These observations add context to his current views on asset allocations at month-end.