Tags: black | rock | financials

BlackRock: Financials Have Bottomed

By    |   Wednesday, 20 May 2009 10:24 AM

Robert Doll, chief investment officer for equities at money management giant BlackRock, thinks financial stocks have bottomed, though the industry isn’t out of the woods yet.

“We are less underweight financials than we were,” he tells CNBC.

“We think financials have indeed bottomed. But… on any rally we see of longer term nature, the financials will go up less than the market.”

That’s because “we still have asset question marks,” Doll says.

“Until we get more time, more write-offs, more capital raised, we think there will be bumps along the way in financials.”

Doll says housing will likely bottom in the second half of the year.

“Without that, it will be tough to have a sustained rally in equities because it will be tough to have a recovery in the economy.”

The recent rise in commodity prices is “absolutely” a positive sign, Doll says.

“It’s part of why this rally of the four we’ve had so far since the bear market started is different from the others,” he says.

“It also points out clearly that there’s a difference between the emerging markets and the developed markets.”

And what’s that difference? “Emerging markets are often drivers of commodity prices, and it’s a sign they are coming out of their recessions.”

While it’s not unanimous, many experts agree with Doll that the plunge in financial stocks is over. Mario Gabelli is one of them. “My favorites are the money managers,” he tells Bloomberg TV.

© 2017 Newsmax. All rights reserved.

   
1Like our page
2Share
StreetTalk
Robert Doll, chief investment officer for equities at money management giant BlackRock, thinks financial stocks have bottomed, though the industry isn’t out of the woods yet.“We are less underweight financials than we were,” he tells CNBC. “We think financials have indeed...
black,rock,financials
242
2009-24-20
Wednesday, 20 May 2009 10:24 AM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved