Investors aren’t paying enough attention to this big risk lying in wait for stocks, says John Hancock strategist

  • 📰 MarketWatch
  • ⏱ Reading Time:
  • 40 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 19%
  • Publisher: 97%

United States News News

United States United States Latest News,United States United States Headlines

Need to Know: John Hancock spotlights a major risk lying in wait for stocks

The S&P 500 SPX, -0.79% looks ready to get back up and fight Wednesday, a day after recession worries and fresh Italian political upheaval stopped a three-session winning streak. Investors are no doubt hoping for interest-rate cut reassurance from the Federal Reserve meeting minutes due later. On the speaking circuit, Minneapolis Fed’s Neil Kashkari pounded the table for a rate cut in September, while San Francisco Fed President Mary Daly said recession is not on the horizon.

How high? Wall Street analysts are expecting 10.5% earnings growth in 2020 for the S&P, he says, adding that we’d “need to see a significant change in the macro backdrop to achieve that type of earnings growth.” Europe stocks SXXP, +1.30% are higher, led by Italian equities I945, +2.02%, which are taking off as investors wait for news of fresh elections after Prime Minister Giuseppe Conte’s exit. Asia XJO, -0.94% struggled, with Australian stocks XJO, -0.94% leading a decline with a 1% drop.The buzz Among retailers shares of Lowe’s LOW, +2.97% and Target TGT, -0.45% are climbing after forecast-beating results. Walmart WMT, -1.55% is suing Tesla TSLA, -0.

Existing-home sales figures are coming after the stock market opens, and, later in the day, those Fed minutes.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
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:

 /  🏆 3. in US

United States United States Latest News, United States United States Headlines