HSBC strategist cuts half of US stock exposure, shifts to emerging markets and Europe

Mars Finance reports that HSBC strategists have halved their exposure to the U.S. stock market and increased investments in emerging markets and Europe, citing the strong economic outlook in those regions. Over the past two months, key cyclical indicators such as consumer and manufacturing sectors have shown growth. The strategists stated that positive technical signals, positioning, and market sentiment can offset concerns related to geopolitics, trade, and artificial intelligence. Year-to-date, the S&P 500 has risen by 1.5%, the global stock index excluding U.S. stocks has increased by 11%, and the emerging markets benchmark index has gained 15%.