Economic trends continue to be optimistic. The global economy is expanding at an unprecedented rate, and investors are increasingly optimistic for 2020. With the stock market at all-time highs, many investors are looking for value and momentum plays. Three sectors that could lead the charge for the end-of-year rally are technology, consumer discretionary, and health care.
1. Technology
Technology stocks have been leading the charge since the pandemic, with companies like Apple, Microsoft, and Amazon posting record profits. The emergence of the cloud computing market has also made it a key part of the global economy. Investors are taking full advantage of tech’s exceptional performance and should expect continued gains in the sector.
2. Consumer Discretionary
Consumer discretionary stocks have also benefitted from the pandemic, as people spend more time indoors and on digital devices. Companies like Netflix and Amazon have seen their share prices soar. With other companies in the sector such as Walmart, Target, and McDonald’s also faring well, investors are expecting strong returns for consumer discretionary stocks in the coming months.
3. Health Care
The health care sector has also been a major beneficiary of the pandemic. Companies such as CVS, Walgreens, and UnitedHealth have seen share prices rise significantly. With continued investment in medical research and technology, the sector is expected to continue to show strong gains in the long-term.
Investors should take advantage of the current bullish trend, and seek value and momentum in tech, consumer discretionary, and health care stocks. With the market at an all-time high, there is no better time to get in on the action. As the end-of-year rally progresses, investors may be able to capitalize on further gains.
“A Bull Market Beckons: Get Ready for Value, Momentum & 3 Standout Sectors
