Equity markets (^DJI, ^IXIC, ^GSPC) remain uncertain about when interest rates will be cut by the Federal Reserve in 2024. Savita Subramanian, head of U.S. equity strategy and U.S. quantitative strategy at BofA Securities, shares her perspective on market dominance.
“It’s still unclear whether the Fed will make any visible rate cuts this year,” Subramanian said, noting that more economic data is needed and that he expects a cut toward the end of the year. Despite the uncertainty, he said he’s not worried about large companies.
“I think the big companies learned their lessons from the financial crisis,” Subramanian told Yahoo Finance, citing financials, energy and industrials as sectors that have benefited from low interest rates. “Even if interest rates go down a little bit further down the road, I think the S&P 500 is in a good position to do well,” he added.
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This post was written by Angel Smith