Stocks Retreat: Here's Why Current Valuations Make Sense

The video discusses the current state of the equity and Treasury markets, highlighting low interest rates and market valuation. It examines the lack of earnings growth despite high market levels and anticipates a return to profit growth in the latter half of the year. The discussion includes economic indicators like the ISM survey and the impact of the dollar and energy prices. Investment strategies focus on dividend-paying companies and global opportunities, particularly in emerging markets and international equities, with an emphasis on diversification.

What factors contribute to the perception of the market being expensive or inexpensive?

How is the real earnings yield calculated according to the text?

What are the expectations for profit growth in the second half of the year?

What is the significance of dividend-paying companies in the current market environment?

What opportunities are presented in international developed equities compared to the US stock market?