Markets

Stocks could stumble in early 2021 as investor sentiment surges past market fundamentals, Goldman Sachs says

Goldman Sachs’ Sentiment Indicator — which measures how far stock prices are outpacing fundamentals — climbed to two standard deviations above its average on Friday, signalling heightened risk of near-term market weakness. Rising COVID-19 hospitalizations and weak economic data add to the odds of “a modest positioning driven pullback in […]
Stocks could stumble in early 2021 as investor sentiment surges past market fundamentals, Goldman Sachs says
Markets

Value and growth stocks can climb together in 2021 as investors split focus between vaccine rollouts and virus scarring, top Wall Street strategist says

Investor positioning can lift both growth and value stocks in 2021, Seema Shah, chief strategist at Principal Global Investors, said Wednesday. Distribution of a coronavirus vaccine “would be a total game-changer” in continuing the November value rotation, she said. Yet investors “will continue to gravitate toward the mega-caps” as their […]
Value and growth stocks can climb together in 2021 as investors split focus between vaccine rollouts and virus scarring, top Wall Street strategist says
Markets

The K-shaped economic recovery dividing America also applies to companies. Here are 4 implications of that trend, according to a Wall Street chief strategist.

Just as the pandemic’s economic fallout disproportionately hit low-income Americans and minorities, low-earning industries face a far more difficult return to pre-pandemic strength, said James Paulsen, chief strategist at The Leuthold Group. High-earning sectors’ unemployment rate jumped to just 12% and now sits at 5.5%. Yet low-earning industries saw their […]
The K-shaped economic recovery dividing America also applies to companies. Here are 4 implications of that trend, according to a Wall Street chief strategist.
Markets

JPMorgan says US election odds are narrowing, making a contested result that could hamper stimulus and hurt stocks more likely

Democratic presidential nominee Joe Biden’s shrinking lead in betting markets suggests a contested election is becoming more likely, JPMorgan strategists said Tuesday. A higher chance of a contested or close election outcome would slam the bank’s expectations for fresh stimulus and “likely put some downward pressure on risk markets for […]
JPMorgan says US election odds are narrowing, making a contested result that could hamper stimulus and hurt stocks more likely
Markets

The stock market’s near-term fate could be decided by the tight Senate race as stimulus remains in limbo, Morgan Stanley says

With polls increasingly signalling a Biden victory, investors should shift their focus to Senate races, Morgan Stanley said Wednesday. Senate election outcomes “will mean the difference between substantial fiscal expansion and fiscal gridlock,” strategists led by Michael Zezas wrote in a note to clients. Treasurys and West Texas Intermediate crude […]
The stock market’s near-term fate could be decided by the tight Senate race as stimulus remains in limbo, Morgan Stanley says
Markets

Wall Street’s biggest banks are increasingly expecting a Biden-led blue wave as the election looms. Here’s how they say you should position your portfolio.

As Democratic presidential nominee Joe Biden’s lead in the polls widens, Wall Street is warming to the prospect of a Democratic sweep in November. Goldman Sachs and UBS recently advised clients to prepare for a shift to cyclical and value stocks from growth favourites, as a Biden victory increases the […]
Wall Street’s biggest banks are increasingly expecting a Biden-led blue wave as the election looms. Here’s how they say you should position your portfolio.
Next Page »