Discussion: Is the market under a correction or before a rebound

Moomoo News Global wrote a column · Jun 21, 2021 10:03

Moody's economist Mark Zandi has a message for investors: Brace for a significant market correction.

Discussion: Is the market under a correction or before a rebound

However, others eye a rebound following last week's drop as stocks futures rose on Monday.

Futures tied to the Dow Jones Industrial Average advanced 0.5% in a choppy trading session early Monday. By the Friday close, the blue-chip index had suffered its largest percentage decline since the week ended Oct. 30. Contracts linked to the S&P 500 edged up 0.4% Monday, while Nasdaq-100 futures rose 0.5%, pointing to gains in large technology stocks at the opening bell.

"There are no very strong convictions in the market for the time being," said Nadège Dufossé, head of asset allocation strategy at asset manager Candriam. "The market is really focused on the evolution of rates and central bank comments."Stocks are likely to remain at roughly current levels, albeit with increased choppiness if market sentiment doesn't shift in some way, she added.

"For most investors, looking across the asset landscape, there still remains no alternative to equities," Mr. Kamal, CIO at Kleinwort Hambros, said. "Hiring is happening and normality is returning, and all of that is really positive for cyclicality. That is never going to happen in a straight line. As last week showed, there is huge volatility still in equities."

So, what do you think about the situation? Are you still confident with the market, or are you getting a little cautious?

Comment below to discuss with other moomooers!

Source: WSJ, CNBC
$Dow Jones Industrial Average (.DJI.US)$ $Nasdaq Composite Index (.IXIC.US)$ $S&P 500 Index (.SPX.US)$

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