Clues and commentaries on the global prospects for stocks, bonds and alternatives.
Selected Document
A Balancing Act
ClearBridge | April 7,2015

Hersh Cohen offers perspective on issues affecting the equity market

  • The ultra-low interest rate environment continues to provide downside support for equity valuations.
  • We expect to see continued dividend increases this year, but we see less potential for near-term capital appreciation from today's levels.
  • The strong dollar hurts U.S. exports and the foreign earnings of multinational U.S. companies when they are translated to dollars, but we believe that many stocks with good underlying fundamentals and organic growth have been unduly punished by small earnings shortfalls stemming from currency headwinds.