equity market is about 7% overvalued, are there any stocks that still have room to appreciate?Ĭonsumer Demand to Shift Spending Back to Services From Goodsīeginning this summer, we expect that a wave of pent-up consumer demand will be unleashed across the services sectors-especially among those services that had been shut down. Yet, with the broad stock market back up to near all-time highs, in conjunction with our estimate that the broad U.S.

gross domestic product growth in 2021 to 5.3%, and we expect that economic momentum will help to support the 4.0% GDP growth we project in 2022. Accounting for both the economic normalization and the recently enacted fiscal stimulus program, we had recently raised our forecast for U.S. approaches herd immunity over the next few months, we expect pent-up consumer demand will unleash a robust economic recovery in the second half of the year. The seven-day rolling average of daily vaccinations was 2.43 million per day and continues on an upward trend.Īs the U.S. population has had at least one dose and close to 12% of the population has been fully vaccinated. As a result, approximately 22% of the U.S. In fact, as of March 16, according to the CDC, almost 111 million doses have been administered in the U.S. Morningstar healthcare strategist Karen Andersen has long opined that herd immunity in the United States would be reached by mid-2021. Editor’s note: Read the latest on how the coronavirus is rattling the markets and what investors can do to navigate it.Įconomic normalization is on the horizon and getting closer every day.

Stocks that will skyrocket