Bank of America says broad market is ‘statistically expensive on almost every metric’
- raises year-end price S&P 500 to 6,000
- we see limited near-term upside to the cap-weighted S&P 500 and prefer the equal-weighted index, but our bear market signposts — the triggers that typically precede an S&P 500 peak — are not signaling elevated risks of an imminent bear market
- on the other hand, the S&P 500 is higher quality, less levered and more asset light compared to prior decades
- long-term growth expectations on megacap tech at a record high
- sees potential for a market rotation into cyclicals and high dividend-yielding stocks
This article was written by Eamonn Sheridan at www.forexlive.com.
