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The SPW index is trading at 16 times next 12 months earnings per share, with a payout ratio of 74 percent, which is higher than the cap-weighted index. Jurrien Timmer described these fundamentals as attractive and noted that the payout (PO) is growing faster than earnings.
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Timmer has recently commented on other key equity benchmarks. He observed that the KOSPI index is holding at a potential head-and-shoulders neckline after leading gains earlier this year. In another note, he stated that the S&P 500 sits 5% below its cyclical trendline but remains above the secular trendline.