By Steve Goldstein
Stock markets aren’t really out of line in any direction, to hear one strategist tell it.
“We haven’t got a big qualm with the market at this point in time. I don’t see really significant, anomalous valuations in the market, and that takes me to this idea of staying invested, being diversified, but not being too tactically adventurous,” said Joseph Little, global chief strategist at HSBC Global Asset Management.
Little added the Nasdaq Composite isn’t as stretched as it was during the dot-com bubble. HSBC is overweight global stocks, particularly for Northern Asian emerging markets that are leveraged to China’s recovery.
Little isn’t a proponent of the argument, however, to switch now into cyclical stocks from the defensive companies that have outperformed. “I think you need to have a bit more confidence in a macro momentum story, of upgrades to investor expectations about growth. I’m not sure