Why high market valuations isn't a concern: Strategist

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Michael Kantrowitz News

Market Valuation,Piper Sandler,Earnings Estimates

As the third quarter earnings season gets underway, concerns have emerged about market valuation levels. Piper Sandler chief investment strategist Michael...

As the third quarter earnings season gets underway, concerns have emerged about market valuation levels. Piper Sandler chief investment strategist Michael Kantrowitz joins Catalysts to discuss why he believes these valuation worries may be overstated.

Heading into a week of packed earnings, the S and P currently trading at more than 20 times forward earnings estimates.But our next guest says valuation concerns they overhyped joining us. Uh And again, it hasn't really impacted the markets negatively, but it certainly has shown up in, in areas of leadership, a lot of the best performing groups in the third quarter that did well as interest rates declined are not outperforming this quarter.

I think uh the markets are pricing in uh uh uh if a Trump presidency comes to pass, um that also is bearish for interest rates.And I would, I think it would certainly change the narrative around uh fed rate cuts.Thanks so much for taking the time to join us here.

 

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