RBC Sees Clear and Present Pressures on the Market

The video discusses market recommendations, focusing on the balance between cyclicals and defensives amid uncertainties. Lori Calvin Sina from RBC Capital Markets shares insights on market turning points. Companies express uncertainty about 2020 guidance due to economic pressures. Analysts face challenges in predicting market trends, with discrepancies in growth predictions.

What is the current market strategy regarding cyclicals and defensives?

• Overweight cyclicals and underweight defensives

• Overweight defensives and underweight cyclicals

• Maintain a balance between cyclicals and defensives

• Underweight both cyclicals and defensives

Why are companies hesitant to provide guidance for 2020?

• Owing to significant market uncertainties

• Because of clear market trends

• Due to high market stability

• Because of strong economic growth

What is the main challenge for analysts in predicting 2020 market behavior?

• Insufficient market volatility

• Excessive market stability

• Lack of historical data

• Uncertainty and lack of clear direction

What growth rate are analysts modeling for 2020?

• 5% growth

• 20% growth

• 10% growth

• 15% growth

What is the sentiment among analysts regarding growth estimates for 2020?

• Assurance of stable growth

• Skepticism and need to cut numbers

• Confidence in high growth

• Need to increase growth estimates