A sustained reflation trade could place the Dow in a league of its own. If risk aversion takes root, valuation metrics in the Dow Jones are far more reasonable than elsewhere.
Long DJIA on Reflation and Infrastructure: Q2 Top Trading Opportunities 2021-04-03 23:30:00 Peter Hanks, Strategist
Long Dow Jones on Reflation Trade and Potential Infrastructure Spending Advertisement
The United States economy has enjoyed a remarkable recovery a year after the onset of the coronavirus, leading to hot growth forecasts and huge corporate earnings expectations for companies that struggled during the pandemic. Despite lofty economic measurements, the Federal Reserve has reiterated adherence to its current policy path time and time again. Consequently, the broader fundamental backdrop for US equities is encouraging.
Heightened expectations and loose monetary policy have helped propel inflation concerns and US Treasury yields have ticked higher as a result. The combination has given rise to weakness in the stocks that worked to drag the indices out of their pandemic depths - na