About 40% of the S&P 500's revenue comes from abroad, where many countries are growing at a faster clip than the U.S. The S&P has a lot of powerful indirect exposures to the world economy, via emerging market and commodity demand. Commodity prices are very important to the energy, industrial and material companies. Business spending also has a lot of connections to global growth. And that's what drives S&P earnings.
David Bianco, chief US equity strategist, Bank of America Merrill Lynch "Experts agree: Get over your fear and get back into stocks", USA Today, December 17th, 2010
Showing posts with label people - Bianco; David. Show all posts
Showing posts with label people - Bianco; David. Show all posts
Dec 17, 2010
David Bianco says plays the EM in 2011, but do it through the S&P so he can make money
When we talk to clients and we look at portfolios that are largely cash, Treasuries, municipal bonds and gold, we point out that that's just not a balanced portfolio. It's a portfolio with its own kind of risks, and a portfolio that, over time, is not going to keep up with your wants and desires for funding your long-term financial needs.
Within the S&P 500, our advice is to stick with strength in 2011. And strength in the world is the emerging economies. But we want to point out that there are lots of plays on emerging economy growth within the S&P 500, particularly the technology, energy, industrial and materials sectors.
~David Bianco, chief US equity strategist, Bank of America Merrill Lynch, "Experts agree: Get over your fear and get back into stocks", USA Today, December 17th, 2010
Within the S&P 500, our advice is to stick with strength in 2011. And strength in the world is the emerging economies. But we want to point out that there are lots of plays on emerging economy growth within the S&P 500, particularly the technology, energy, industrial and materials sectors.
~David Bianco, chief US equity strategist, Bank of America Merrill Lynch, "Experts agree: Get over your fear and get back into stocks", USA Today, December 17th, 2010
David Bianco says go buy some stocks for 2011
We're broadly bullish on U.S. equities. It's important for investors to get back into the asset class. Go buy mutual funds. Go buy index funds.
~David Bianco, chief US equity strategist, Bank of America Merrill Lynch, "Experts agree: Get over your fear and get back into stocks", USA Today, December 17th, 2010
~David Bianco, chief US equity strategist, Bank of America Merrill Lynch, "Experts agree: Get over your fear and get back into stocks", USA Today, December 17th, 2010
May 8, 2010
BofA's David Bianco on market timing during the global equity crisis of 2010
Now is a good time for anybody that has got anything longer than a week or two, or a month investment time horizon to be buying the best companies in the S&P.
~David Bianco, Head of US Equity Strategy, BofA Merrill Lynch Global Research, "Market Update: Is Volatility Back?", May 7, 2010
~David Bianco, Head of US Equity Strategy, BofA Merrill Lynch Global Research, "Market Update: Is Volatility Back?", May 7, 2010
May 7, 2010
BofA's David Bianco on the hope of mercantilism in Europe
[European Central Bank chief] Trichet's nonchalance certainly shocked investors, but something to realize is that much of the European economy, particularly Germany, has a very strong manufacturing-recovery and export economy occurring right now. So, what I'd point out is that the key businesses to the S&P, in core Northern Europe, that are manufacturing and technology-oriented, they're doing well.
Now, if the contagion spreads, that could not be the case but a weaker Euro should actually stimulate those parts of the European economy. So, I can certainly see why certain Europeans are taking the attitude of, "This is not our problem." But that's dangerous.
~David Bianco, Head of US Equity Strategy, BofA Merrill Lynch Global Research, "Market Update: Is Volatility Back?", May 7, 2010
Now, if the contagion spreads, that could not be the case but a weaker Euro should actually stimulate those parts of the European economy. So, I can certainly see why certain Europeans are taking the attitude of, "This is not our problem." But that's dangerous.
~David Bianco, Head of US Equity Strategy, BofA Merrill Lynch Global Research, "Market Update: Is Volatility Back?", May 7, 2010
BofA's David Bianco on why investors shouldn't panic over Greece
Well, I don't think you should panic-- the elevated uncertainties certainly suggest there is more uncertainty out there, and you have to not be overly-confident about the outlook. We are feeling good that parts of what we see playing out right now, particularly in Europe with the weaker Euro, we've built that into our earnings estimates. They could deteriorate, so I don't want to promise certainty on our earnings estimates, the $88 earnings outlook we have for 2011 for the S&P assumes a Euro of $1.23 on average.
It's the earnings that are supportive of the market at these levels and it's earnings as volatility comes down and confidence gets better, that should take the market to our price target of 1300 for this year, and 1350 over twelve months.
Particularly for long-term investors, I wouldn't panic, I wouldn't dump stocks. I'd nibble at the larger cap companies in the S&P that I think are going to do well.
~David Bianco, Head of US Equity Strategy, BofA Merrill Lynch Global Research, "Market Update: Is Volatility Back?", May 7, 2010
It's the earnings that are supportive of the market at these levels and it's earnings as volatility comes down and confidence gets better, that should take the market to our price target of 1300 for this year, and 1350 over twelve months.
Particularly for long-term investors, I wouldn't panic, I wouldn't dump stocks. I'd nibble at the larger cap companies in the S&P that I think are going to do well.
~David Bianco, Head of US Equity Strategy, BofA Merrill Lynch Global Research, "Market Update: Is Volatility Back?", May 7, 2010
Subscribe to:
Posts (Atom)
