Commentary

Markets poised to rise but will be buffeted by volatility

Invest in growth and cyclicals to ride recovery this year and mitigate low interest rate environment

Travellers at an airport in Detroit. DBS' chief investment officer/strategist Hou Wey Fook sees the recent recovery of hotels, resorts and airlines as a sign that market interest is expanding beyond just big tech.
Investors must remain cognisant of the fact that markets could continue facing volatility. PHOTO: REUTERS
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Vaccine developments have given hope that the world economy can return to normal and spur corporate earning recovery but while financial markets will trend upwards, it will not be a straight line and event-driven volatility will remain a feature of 2021.

That, in a nutshell, seems to be the emerging view of experts in their 2021 outlook themes.

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A version of this article appeared in the print edition of The Straits Times on January 06, 2021, with the headline Markets poised to rise but will be buffeted by volatility. Subscribe