Yeadon sees equity strength in similar markets to 1991/2

Current similarities to the early 1990s slowdown reveal a decent case for buying equities, according...

Current similarities to the early 1990s slowdown reveal a decent case for buying equities, according to Schroders' multi-manager head Andrew Yeadon. He calls current 10 times earnings levels very cheap and believes markets could be approaching an inflection point, from downward trending and volatile to upward trending and volatile. "Stock markets can often produce strong growth in recessionary periods, such as the 15% rises in 1991 and 1992," added Yeadon. "Weakest phases often come in the run up to a slowdown but when we get there, markets can be much firmer." Drawing comparisons to ...