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Barton Biggs says the odds of a double-dip recession are “pretty remote”, and says he doesn’t think now is a time to be underinvested. The hedge fund guru tells Bloomberg that he puts the odds of a double-dip somewhere around 1-in-5. He’s nervous about some economic factors, but likes the bearish sentiment in the market, and says large-cap high-quality stocks are very cheap. He also talks about some areas of the market he’s high on, including emerging markets.
Hedge fund guru Barton Biggs says there’s “no question” that the cheapest liquid investment asset in the world is “big, high-quality U.S. stocks.” Biggs also tells Bloomberg that he is bullish overall and is 75% net long on equities.
Hedge fund guru Barton Biggs says he thinks the market is ready to “pop”, and that the upturn will come very soon.
“I think [stocks] are going to stabilize in this general area, and then we’re going to have a significant move to the upside,” Biggs tells Bloomberg. “The market is very, very oversold, and I think we’re going to have a big pop to the upside some time in the next couple of days. I wouldn’t be surprised to see us go to a new recovery high, just to make everybody squirm.”
Biggs added that the Europe concerns are serious, but said “I just don’t think that the worst is going to happen.”
Bloomberg also says Templeton Asset Management’s Mark Mobius sees good times ahead for emerging market stocks, which have been beaten up recently. Mobius has been buying stocks in Brazil, Russia, India and China in the past month. “Despite the fact that a lot of people think that we are entering into a bear market, we don’t believe so,” Mobius said. “When the time comes, emerging markets will recover faster and in a big way.”
Hedge fund guru Barton Biggs says the global economic recovery is a strong one, and that the next big move in the U.S. market will be a tech-stock-led 15% to 20% upward push. Biggs tells Bloomberg that drug and REIT stocks are also attractive, and says it’s very reassuring that there are so many bears out there. Biggs also gives his take on the European debt crisis, saying that the currency devaluation there could be a major bullish factor.
While some say we’ve entered an economic and investing world in which things are “different this time”, hedge fund guru Barton Biggs tells Bloomberg that “the world is never different”, and that fearful investors will eventually come back to stocks. Biggs says human nature, fear, and greed will continue to drive markets going forward, as they always have. He thinks the current market has good momentum behind it, and he expects the economic and stock market recoveries to continue.
Top hedge fund manager Barton Biggs, who called the rally last year when many were shunning the market, remains high on stocks.
“I’m bullish,” Biggs recently told Bloomberg Television. “Earnings are coming in very, very strong. The surprise is going to be how good economic growth is.”
Biggs says he’s particularly high on emerging markets. “I like the Asian emerging markets, and particularly at this point China and India,” he said.
Hedge fund guru Barton Biggs says he remains bullish on stocks, despite the factors that have spooked some investors in recent days. Biggs tells Bloomberg that the U.S. economy is in a “strong recovery”, and that he thinks the U.S. will grow in the 5% to 5.5% range in the next couple quarters. He also says valuations on stocks remain attractive. Among the areas he’s high on: large, high-quality technology stocks, large, multi-national growth plays, and high-quality drug firms.
While they’ve spent much of the past several month moving in opposite directions from each other, the dollar and the stock market now may well move upward together, according to top hedge fund manager Barton Biggs.
“After a severe economic shock like we just had, the odds are that we’re going to have a pretty good burst of growth in 2010, 2011,” Biggs told Bloomberg. “I don’t see any reason why we can’t have a further rally in the dollar and a further rally in stocks. My guess is that the next move in both could be on the order of 10 percent.”
Biggs says the dollar is undervalued compared to the yen and the euro, and says the idea that the dollar and stocks must move in opposite directions is “a bunch of baloney. … The market just sets investors up for these relationships, and then it reverses on them.”
Hedge fund guru Barton Biggs tells Charlie Rose that he expects the next major move in the market will be to the upside, and says he thinks the U.S. would be wise to add more stimulus into its recovering economy.
Biggs says he’s looking for the market’s next big move to be a 10% to 15% rise. He does see the U.S. having slower growth in coming years, because of the lingering effects of the housing bust. He says European economies in better shape than the U.S., and he’s particularly high on Asian markets, from China to India to smaller developing nations.
Among Biggs’ other key points:
Hedge fund guru Barton Biggs says he thinks stocks are going to continue to go higher, and expects another 10% to 15% gain for the market. Biggs offered that assessment to Bloomberg TV, basing his belief on an analysis of previous secular bear markets and their ensuing recoveries. He also says he’s heartened by the way the global economy is recovering, but adds that he’s skeptical we’ll see new market highs in the near future.
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