Meanwhile, the investment management juggernaut BlackRock (NYSE: BLK) suggests that traders and investors avoid buying the dip and instead wait it out. According to Alex Brazier, the company’s deputy head, who spoke with Bloomberg Markets on June 17, BlackRock remains neutral on stocks over the next six to twelve months, as the S&P 500 and Nasdaq continue to rack up losses and the Treasury yields are rising.
Micro bullish but macro bearish
Furthermore, margins in the U.S. are at an all-time high, which puts pressure on wages and buying power of the consumers, so expectations of increasing wages are driving analysts to believe that profit margins for companies will be eroded with such an increase. Speaking on this issue, Brazier sees an out for the U.S.: Speaking on investment opportunities under these market conditions, the BlackRock deputy said that now is not necessarily a time to be in cash but rather eye the energy markets and commodities, which may be in short supply. He also added: It seems, despite all of the trouble in the markets, that there are pockets where investment gains can be had. Investors should follow the advice and be weary and invest in companies that can survive a recession. Buy stocks now with Interactive Broker – the most advanced investment platform Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
