Stocks have struggled this year amid rising interest rates as the Federal Reserve prepares to tighten its pandemic-era monetary policy. However, some strategists believe the recent downturn is overblown.
“Recent bearishness in equities is overdone, and out of line with activity momentum, easing bottlenecks, and what we expect to be a strong earnings season,” JPMorgan’s top market strategist Marko Kolanovic said in a note Monday.
Investors are awaiting the Fed’s two-day policy meeting set to begin Tuesday. Market participants will be looking for any signals on when and how much the central bank will raise interest rates this year.
