US stocks have kicked off 2023 on a high as a risk-off tone pervades markets, but the rally may not last for long, according to a Wells Fargo strategist. on Thursday, equity strategist Anna Han said the optimism in the US stock market is"odd to see," since January is typically a month when investors stand down from high-risk assets.
"That's not been the case this time. You're seeing people bid for risk, and you're seeing equities come out of the gates hot," Han said. It might be because investor sentiment toward the end of last year and coming into 2023's earning season was so poor, she added. "Seeing that not as bad as feared sort of tone is helping equities rally," Han said. But such investor appetite for risk likely won't carry through the year, she added.
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