Investors may be moving away from shares of U.S. companies least affected by economic growth in favor of those that benefit more from expansion, according to Russ Koesterich, BlackRock Inc.’s chief investment strategist.
Even bulls are taking steps to protect profits after gains in U.S. stocks added $10 trillion to equity values, convinced the first decline in earnings since 2009 will spur losses in the historically weak second quarter.
Russ Koesterich, the San Francisco- based global chief investment strategist for the IShares unit of BlackRock Inc., comments on U.S. Federal Reserve Chairman Ben S. Bernanke’s statement today in Jackson Hole, Wyoming.
U.S. stocks fell, following the biggest drop since November for the Standard & Poor’s 500 Index, as concern grew that the U.S. Federal Reserve may slow the pace of stimulus and investors weighed corporate earnings.
International investors who propelled the biggest rally for Japanese shares since 1987 would have earned almost as much in the Standard & Poor’s 500 Index once the yen’s 16 percent tumble is taken into account.