Wells Fargo says history suggests at least a 5% drop in S&P 500 By Investing.com

© Reuters. Wells Fargo says history suggests at least a 5% drop in S&P 500

History suggests there will be at least a 5% slide in the S&P 500, according to Wells Fargo in a note Wednesday.

While not providing further details on the claim, the bank’s equity analysts said in their brief note that an equity sell-off was sighted yesterday, and the expected 1H24 volatility lift started.

“History suggests at least a 5% SPX slide. Focus on positioning: overweight Comms/Health Care/Utes; underweight Energy/Industrials,” the analysts wrote.

They added that they prefer software over hardware and that GDP strength supports a Fed Funds re-pricing.

Wells Fargo notes that the communications sector and growth are white-hot, with communications remaining the bank’s top offensive idea in 2024 “as valuation, technicals, and fundamentals suggest there is more scope for outperformance.”

Meanwhile, energy and value are flat-to-down this year. “Without an economic recovery and a rapid acceleration of EPS growth, we expect firms with significant operating leverage (such as cyclicals) to flounder,” the analysts said.

The post Wells Fargo says history suggests at least a 5% drop in S&P 500 By Investing.com first appeared on Investorempires.com.


Massive News for Palantir Stock Investors | Investorempires.com

Read More | Fool.com contributor Parkev Tatevosian reviews the latest developments out of Palantir Technologies (NYSE: PLTR). *Stock prices used were the afternoon prices of Feb. 11, 2024. The video was published on Feb. 13, 2024. (embed)https://www.youtube.com/watch?v=GFTGVvFdxiw(/embed) Should you invest $1,000 in Palantir Technologies right now? Before you buy stock in Palantir Technologies, consider this: […]

Cintas (CTAS) reports higher Q3 revenues and earnings; lifts FY24 guidance | AlphaStreet

Read More | Uniform rental company Cintas Corporation (NASDAQ: CTAS) reported an increase in revenues and earnings for the third quarter of 2024. Third-quarter revenue increased 10% year-over-year to $2.41 billion from $2.19 billion in the corresponding period of 2023. Organic revenue growth, adjusted for the impacts of acquisitions and foreign currency exchange rate fluctuations, […]

A new fund that allows investment in private tech firms like SpaceX and OpenAI has seen its market value surge as much as 818% in 2 weeks | Investorempires.com

Read More | A female SpaceX employee is suing the company for discrimination and retaliation.Eva Marie Uzcategui The Destiny Tech100 fund has soared as much as 818% since its debut two weeks ago. The closed-end fund offers investors access to companies that have yet to go public. Some of the top holdings in the fund […]