Bloomberg Intelligence's 'Equity Market Minute' 12/4/2020

Gina Martin Adams from Bloomberg Intelligence discusses the potential upside for equities despite a strong November rally. The S&P 500 is analyzed against the 14-day RSI momentum, showing strong market breath but room for momentum growth. Value stocks and small caps have re-rating potential, trading at a significant discount to growth stocks. The video concludes with a summary of these insights.

What does Gina Martin Adams suggest about the potential for equities after the November rally?

• The market is too volatile to predict.

• Equities have reached their peak.

• There is still considerable upside potential.

• Equities are likely to decline.

What does a 14-day RSI above 70 typically indicate?

• Stable market conditions.

• A potential market correction.

• A strong buying opportunity.

• A decline in stock prices.

What percentage of the S&P 500 was trading above its 50-day moving average after the November rally?

• 50%

• 100%

• 90%

• 70%

How do value stocks compare to growth stocks in terms of valuation according to the analysis?

• Value stocks are slightly more expensive than growth stocks.

• Value stocks are overvalued compared to growth stocks.

• Value stocks are at a 66% discount to growth stocks.

• Value stocks have the same valuation as growth stocks.

What is the significance of value stocks trading more than 1.5 standard deviations below the 5-year average?

• It suggests value stocks are undervalued.

• It indicates a market crash.

• It shows value stocks are overvalued.

• It means the market is stable.