BlackRock Says US Equities are a Good Pick
There is a lot of consternation in the market about the direction of equities. Some fear for returns as higher rates and the possibility of a recession become clearer. However, the world's largest asset manager has just come forth with position that sticks with US equities. The best way to summarize BlackRock's view is that it thinks "fears of peaking earnings are overdone". The manager believes that worries over macro concerns have overshadowed very strong fundamental performance.
FINSUM : So the question is how much of the great earning performance was simply because of the tax cut, and how much came from an improvement in the underlying businesses. That is key to understand before predicting where the market is headed.
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