BlackRock’s global chief investment strategist said after the market’s strong gains, he is more cautious on U.S. stocks into the second half of the year because of risks from fading fiscal stimulus and potential election volatility.
The BlackRock Investment Institute, in its second-half outlook, said it retains equities at neutral, or benchmark weight in portfolios. Within that, it has an overweight on European stocks, underweight on emerging markets and neutral, or more cautious view on U.S. equities. It also favors higher-quality names across the board.
“We entered the year overweight equities and credit. At the very end of February, as the storms gathering around the coronavirus became…