Market Strategist 2020 Outlook

Brett F. Ewing, Chief Market Strategist
Jan. 6, 2020

• The theme for 2020 is that markets and the economy will surprise to the upside in all facets.

• Lower levels of uncertainty will give consumers and CEOs less pause and concern; this cannot be understated.

• Lower levels of uncertainty are a result of Central Banks across the world having loosened financial conditions in the past year and now stepping out of the limelight in 2020 to allow those moves to work.

• Trade talks with China will continue their trajectory of stable forward progress.

• We believe the dollar will moderate in 2020.

• We like emerging markets as the best asset class primarily for catch up reasons and dollar weakness.

• EM debt should have a good year relative to other bond asset classes.

• We believe there is upside to S&P with tariff rollbacks and dollar weakness—estimates are 12% growth in earnings, 5.5% revenue, and a price target of 3600.

• Interest rate stability should help small and mid-cap names the most. They should also benefit from catch up.

• Materials should have a good 2020 as commodities finally start to show life.

Disclosures: Securities and advisory services offered through Centaurus Financial, Inc., member FINRA and SIPC, a registered investment advisor. Centaurus Financial, Inc. and First Franklin Financial Services are not affiliated companies. This presentation is for educational purposes only and is not intended for investment advice or a solicitation of services.