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.