Here's a top firm's investing playbook before the US economy enters a red-hot inflationary growth cycle
NYSE Stifel thinks the US economy is headed for a "Running Hot" investment regime. That's defined by hot inflation and robust economic growth. The firm said it was bullish on investment-related cyclical sectors and value stocks in particular. Get ready for the US economy to burn hot this summer. That's the new advice from Stifel, with strategists at the firm eyeing a " running hot " setup for the US economy — that is, a dynamic in which economic growth heats up alongside inflation. In a client note on Tuesday, the firm pointed its proprietary macro model, which showed that the US economy's "growth impulse" was booming, while the economy's "inflation impulse" had moved sharply into "hotter" territory. That reflects a specific combination of macro conditions expected to rejig the investment landscape, strategists said, laying out what they believed was the ideal playbook for investors to adopt in the current climate. Th...
