Institutional Investor (February Issue)
A bull market looks set to lift U.S. stocks in 2011. This will not, however, be a “sustained market drive.” One factor is missing: productivity growth. “Strong bull markets are propelled by long-term productivity growth.” The “bullish 1960s and 1990s” prospered on the back “of solid productivity gains.” In contrast, American worker-productivity is in general decline.
A bull market looks set to lift U.S. stocks in 2011. This will not, however, be a “sustained market drive.” One factor is missing: productivity growth. “Strong bull markets are propelled by long-term productivity growth.” The “bullish 1960s and 1990s” prospered on the back “of solid productivity gains.” In contrast, American worker-productivity is in general decline.
Tags: Bull market, Outlook, Productivity gains, U.S.
