Tom Lee — managing partner and head of research at Fundstrat Global Advisors — broke down the four factors informing his belief that stocks can "still go up a lot."
Among his reasons are the Fed and fiscal policy, a global labor shortage, and the growing population of millennials in the US.Visit Business Insider's homepage for more storiesStocks have demonstrated "extreme resilience" in 2020, according to renowned strategist Tom Lee, who thinks they can "still go up a lot."
In a recent note to clients, the managing partner and head of research of Fundstrat Global Advisors broke down four factors factors driving this belief:Lee said the Federal Reserve and fiscal policy are providing "massive support" to markets, and thinks Wednesday's decision to keep rates lower for longer underscores this. He reiterated the age-old advice "don't fight the Fed," but added that economic policy can't be the sole factor driving stocks higher.
The US has been structurally short labor since 2015, and Lee said the world is becoming more reliant on technology to offset this labor supply contraction. He said technology is likely to become 50% of the S&P 500.Millennials are the single largest ever generation in the US, but aren't expected to peak in total size until 2038, said Lee. Since 1900, every generational "peak" coincided with a "major market top" of the Dow Jones Industrial Average.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Reason 1 The fed is handing out nearly free money that then goes into questionable stock buys, raising share prices artificially Duh.
They can also go down a lot. Or the market can remain flat. See? I'm a stock market wizard too.
United States United States Latest News, United States United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Wells Fargo says stock market volatility will balloon after US election - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. Does Wells Fargo want to continue down Trump’s authoritarian path?
Source: BusinessInsider - 🏆 729. / 51 Read more »
Global stocks drop after Fed's upbeat economic outlook dents chances of more stimulus | Markets InsiderReuters Equities and gold slide, dollar gains after Federal Reserve ups economic forecasts, suggesting less chance of stimulus. 'The recovery... Time for a new meeting. Or vaccine optimism?
Source: BusinessInsider - 🏆 729. / 51 Read more »
20 quotes from self-made billionaires that will change your outlook on money - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. TSM_Holdings 👏 I wonder why BI isn't reporting on Bidens ties to China
Source: BusinessInsider - 🏆 729. / 51 Read more »
500 Startups survey: Global tech investment outlook improving in 2020 - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web.
Source: BusinessInsider - 🏆 729. / 51 Read more »
the 2 REIT stocks that will be most impacted by Century 21 closures - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web.
Source: BusinessInsider - 🏆 729. / 51 Read more »
Snowflake IPO: Stock can double if company outperforms Oracle - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. CEO Adam Brimo talks at ASX conference, all about OpenLearning=ASX$OLL OpenLearning Ltd ASX:OLL Has partnered with some of the major universities. Partnerships that could become the cornerstone of a much bigger arrangement. This is some predicted stock pricing for OpenLearning=ASX$OLL Motley fool article on OpenLearning=ASX$OLL🚀
Source: BusinessInsider - 🏆 729. / 51 Read more »