A V-shaped recovery is commonly characterized by a quick and sustained recovery in measures of economic performance after a sharp economic decline.
“I think by the end of this year, you’re going to see a big rebound. And of course the stock market is telling us that. The market is telling us hey, we’re going to have a big recovery,” said Mark Mobius, who set up investment firm Mobius Capital Partners in Y 2018 after 30 yrs at Franklin Templeton Investments.
Mr. Mobius also said will be investing in value stocks and keeping a sharp eye on underperforming companies.
“We are always looking at value at the end of the day. The big boys tend to come up first … if you see any laggards in the large caps, those that have not benefited from the big upturn and their numbers look good, then definitely we have to pay attention to them,” he said.
He said savvy investors should not ignore smaller companies saying, “I would say focus on the smaller, the mid- and small-cap, I think that is better.”
White House economic adviser Larry Kudlow also maintains the V-Shaped economic recovery still intact despite C-19 coronavirus chaos
“There is a huge housing boom. There is a retailing boom. There is an automobile boom. Trucking is still very strong.”
“We have had a jobs boom, so far. And contrary to some poor reading, unemployment claims and continuing claims are falling rapidly, and the July jobs number on unemployment and job increases I think is going to look pretty good,” said Mr. Kudlow.
“We’re looking carefully at any moderation in the story. I get that, and there will be some in July. But I think the ‘V-shaped’ recovery and the 20% 2nd-half growth is still very much intact,” said Mr. Kudlow.
Have a healthy weekend, Keep the Faith!