Bloomberg Intelligence's 'Equity Market Minute' 3/12/2020

Gina Martin Adams from Bloomberg Intelligence discusses the recent struggles in the US equity market, highlighting a significant valuation reset over the past three weeks. This reset, with a 20% drop in the trailing PE multiple, aligns with historical declines during economic weaknesses. Despite this, opportunities arise in large cap sectors like technology, healthcare, and consumer staples. Conversely, commodity-sensitive and cyclical value sectors such as materials, financials, and industrials remain weak.

What has been the trend in the US equity market over the last three weeks?

What does the reset in valuation multiples imply about investor expectations?

What is the average decline associated with economic weakness over the last decade?

Which sectors are currently favored according to the sector scorecard?

Which segments are considered the weakest players in the index?