Bank of America names 2 sectors investors should buy in to as the bull market makes history
- Bank of America Merrill Lynch has moved to an overweight on the industrials and healthcare sectors.
- The bank's equity strategists don't see the bull market in stocks ending soon, mainly because earnings growth is still strong.
- This bull market is set to become the longest in history, as measured by its rise from the 2009 trough, after the market close on Wednesday.
The bull market in US stocks is one day away from making history as the longest ever, as measured by its rise from the trough hit in March 2009.
Bank of America Merrill Lynch doesn't see it ending anytime soon, mainly because earnings growth is still strong. In fact, the bank's equity strategists have broadened out the sectors they're bullish, or overweight, on by adding industrials and healthcare to the list. Their other overweights are in financials, materials, and technology.
The two new overweights represent a barbell approach that seems appropriate for an extended bull market and economic cycle. According to Savita Subramanian, the firm's head of US equity and quant strategy, the overweight on industrials creates cyclical exposure, while the healthcare bet is defensive. ...
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