5.11.20 Reopening Optimism
As May began, investors continued to try to reconcile the strong rebound in stocks with the devastating economic damage from COVID-19. Given the strength of the rally since the March lows, in our view, the risk of a correction in the short term has risen, supported by our Road to Recovery Playbook. Our intermediate - to long-term outlook for stocks remains positive.
• Our equities recommendation remains overweight. Optimism around the re-opening of the US and global economies, coupled with massive fiscal and monetary stimulus, suggest a full retest of the March 23 lows may be unlikely. At... Read more