‘A big head fake’: Several investors are calling bluff on a major stock-market rotation that could be warning of doom
|07/12/2018||Posted by BusinessMediaguide.Com under General World News||
- Defensive sectors of the stock market have recently outperformed cyclical growth sectors.
- It’s a trend Morgan Stanley’s equity strategists have warned about for months. On Monday, they said the aggressive rotation into defensive sectors had finally arrived, bearing big risks for broader stock market.
- Strategists at BlackRock and elsewhere have offered different analyses of this rotation.
Investors are a lot more defensive of late.
Since mid-June, so-called defensive sectors that are preferred when investors sense a meltdown is approaching have outperformed cyclicals, which tend to be supported by a booming economy.
It’s a rotation that Morgan Stanley’s equity strategists read more >>>