Citi’s Levkovich Sees Cyclical Stocks as Big Stimulus Winners

The video discusses the current market positioning and opportunities in cyclical sectors like leisure and hospitality, driven by pent-up demand post-pandemic. It highlights concerns about market pricing and valuation, particularly in software and services, and the impact of economic growth on long-duration assets. The discussion also covers the performance of small caps, noting their significant gains and potential for further growth, while cautioning about future market opportunities.

Which sector is expected to benefit from pent-up demand and increased savings?

• Healthcare

• Real Estate

• Leisure and Hospitality

• Technology

What is the market's anticipated earnings for the S&P 500 compared to consensus estimates?

• $150

• $170

• $200

• $185

Which area is noted for having extended valuations?

• Cyclical sectors

• Software and Services

• Consumer Goods

• Utilities

What is the potential impact of rising yields on long-duration assets?

• Increase in valuations

• No impact

• Decrease in valuations

• Stabilization of valuations

How has the Russell 2000 performed compared to the S&P 500 in recent months?

• Up 20%

• Up 30%

• Up 50%

• Up 70%