This probably isn’t a surprise coming from one of Wall Street’s most prominent bulls, but Deutsche Bank chief strategist Binky Chadha isn’t among those fretting that the stock market’s string of record highs has left markets overextended and due for an imminent pullback.
In a note published Tuesday, strategists led by Chadha urge clients to stay long equities and short commodities. They write: We stay the course in our asset allocation which remains long equities, credit and the dollar; short duration, cash and commodities. We do not expect a sustained pullback in risk assets in the face of reasonable negative catalysts until positioning gets much more extended. Moreover, large announced buyback programs suggest that corporates are likely to step up purchases in the face of a sell down, supporting equities……………………………..Full Article: Source