Finally Time for Value Stocks to Shine?
As the pathway to economic normalization in 2021 becomes clear, the market has begun to favor value stocks over growth stocks.
With the U.S. elections behind us, the economic recovery on solid footing, and new positive data from Pfizer regarding the efficacy and safety of its vaccine, the stock market has rallied off its recent lows at the end of October.
However, the market performance over the past few weeks has shifted from favoring the high-growth, large-cap stocks that propelled the markets higher earlier this year to small- and mid-cap value stocks.
David Sekera does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.