Warning of challenges for U.S. economy achieving soft landing, BCA suggests strategic portfolio reallocation.

From Investing.com: 2024-07-20 05:31:02

BCA Research warns of challenges for the U.S. economy to achieve a soft landing, citing consumer spending weakness and slowing economic growth. They recommend underweighting sectors like Consumer Services and Industrials. Disinflation trends prompt underweighting Energy and Materials. Rate cuts on the horizon benefit Financials, Utilities, and Real Estate. Defensive sectors like Utilities and Pharma may protect against downside risks. GAI stocks could be in a bubble, so caution is advised. Overall, BCA advises preparing for tough times ahead and strategic portfolio reallocation ahead of expected rate cuts.



Read more at Investing.com: 6 reasons why U.S. economy may not achieve soft landing: BCA By Investing.com