Things got gloomy on Monday and that’s no way to start the week so I thought I’d lighten the mood with some bull versus super bull. Today’s bulls are both known strategists. The bull is Jeff Saut of Raymond James while the super bull is JP Morgan’s Tom Lee. Saut says the lows are in the for year even though we are near-term overbought. In his morning note yesterday he said:
“Near-term overbought is our short-term “call,” yet we think the lows are “in” for the year. Regrettably, we also believe there has been so much technical damage that the May 2nd intraday high of 1370.58 marks the high for the year. Nevertheless, we are buyers of favored stocks on weakness given our sense that there will be no recession and that earnings will continue to surprise on the upside.”
Tom Lee is even more bullish. He says the S&P 500 could rally 20% by year-end. That’s 1440 for those keeping track. If I could sell him 3 month 1440 calls on the S&P I would do so in size. Nonetheless, it’s nice to see some bulls despite yesterday’s atrocious session. Both interviews from Yahoo Finance are attached:
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.