Sector Chart Pack: January Jumpstart

08 Jan 2024

by Irene Tunkel, Chief Strategist Guy Russell, Associate Vice President

The Santa Claus rally has been fueled by investors optimism about a soft landing which is the least likely macro outcome in 2024. A pullback in the market is imminent as the probability of "too hot" or "too cold" will get priced in. We are downgrading Software and Services on a tactical basis to take profits but maintaining a strategic overweight in the same trade.

Interested in reading this report?

To access the full BCA Research report, request a complimentary copy

BCA Research | US Equity Strategy

The US Equity Strategy, led by Noah Weisberger, advises investors on how macro regimes, fundamentals, and market dynamics shape risk and opportunity across US equities.