Find new investment opportunities based on Market Sentiment Indicator. Manage watchlist risk with leading indicator of volatility See what influential analysts and investors are saying about stocks in your watchlist
Most Trending
-8.97%
-4.37%
-0.07%
+1.66%
+5.77%
Most Trending
-8.97%
-4.37%
-0.07%
+1.66%
+5.77%
The Fed's sharp interest rate hikes over the past year have succeeded in slowing the rate of inflation, but it is still far from the 2% target line. One of the effects of the interest rate increases was the effect on the stock indices, with the S&P 500 registering an annual decrease of about 20% and the Nasdaq losing 33%. Despite the significant decreases in BOA, we are sure that we have not seen the end yet.
"Before a bottom in the market, the S&P 500 was considered expensive according to only four indicators on average" says Savita Subramanian, strategist at BOA.
BOA also added that before its previous lows, the S&P 500 was trading below its forward multiple, below the normalized trailing multiple and below the median future multiple, but now it is actually above these three measures. The strategist noted that when you look at the difference between the situation in the stock market and the situation in the bond market, the issue of pricing is even clearer.
The shares have been priced cheaply compared to the bonds for over a decade and according to the company's analysis there are now two options - a 30% decrease in the stock index or a 30% increase in the bonds. Such a decrease will send the S&P 500 to the area it is in due to the outbreak of the Corona In March-April 2020.
BOA believes that the sector most likely to prosper in the near future will be the financial sector and says that "this could be a good place to park assets in the near term." The main argument is that the sector has stable income compared to the rest of the market.
One of the highlights was regarding stock prices when it was pointed out that what matters most is how much of the economic damage is already embodied in stock market prices. Stock prices do not yet reflect the damage that is expected to come. It was also made clear that in order to succeed in the coming year, investors will be required to change their portfolio frequently, often in accordance with the events that are yet to come.
Please note that the article should not be considered as investment advice or marketing, and it does not take into account the personal data and requirements of any individual. It is not a substitute for the reader's own judgment, and it should not be considered as advice or recommendation for buying or selling any securities or financial products.
Get all the pieces of the puzzle on important data activity before the major news sources break the story and find out what happening right now and what could happen in the future
FIND US ON
Receive our Daily Alerts
Enter your email to receive daily alerts
Leading Gainers
Upgrades
Downgrades
Top Leaders
Ipo's
Dividend
Option Activity
Insiders Activity
Institutional Holdings
New Products
FDA Approvals
Agreements
Financial Reports
Disclaimer:
The Score performance whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. The results reflect performance of a strategy not historically offered to investors and does not represent returns that any investor actually attained.
The results reflect performance of a strategy not historically offered to investors and does not represent returns that any investor actually attained. The Readiness Indicators, Sentiment Indicators and total score are calculated by the retroactive application of a model constructed on the basis of historical data and based on assumptions integral to the model which may or may not be testable and are subject to losses. Active trading is generally not appropriate for someone of limited resources, limited invesment or trading experience, or low-risk tolerance. Your capital may be at risk.
Please note that no offer or solicitation to buy or sell securities, securities derivatives of future products of any kind, or any type of trading or invesment advise, recommendation or strategy, is made, given or endorsed by StocksRunner including any of their affiliates ("TS").
This information is provided for illustrative purposes only. You should not rely on any advice and/or information contained in this website and before making any investment decision. we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice.
Find out what happening right now and get all the pieces of the puzzle on important data activity before the major news sources break the story and see what are the trends
FIND US ON
Receive our Daily Alerts
Enter your email to receive daily alerts
Disclaimer:
The Score performance whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. The results reflect performance of a strategy not historically offered to investors and does not represent returns that any investor actually attained.
The results reflect performance of a strategy not historically offered to investors and does not represent returns that any investor actually attained. The Readiness Indicators, Sentiment Indicators and total score are calculated by the retroactive application of a model constructed on the basis of historical data and based on assumptions integral to the model which may or may not be testable and are subject to losses. Active trading is generally not appropriate for someone of limited resources, limited invesment or trading experience, or low-risk tolerance. Your capital may be at risk.
Please note that no offer or solicitation to buy or sell securities, securities derivatives of future products of any kind, or any type of trading or invesment advise, recommendation or strategy, is made, given or endorsed by StocksRunner including any of their affiliates ("TS").
This information is provided for illustrative purposes only. You should not rely on any advice and/or information contained in this website and before making any investment decision. we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice.
