2023-10-09 15:01:23 ET
Citi Research’s SIGN (sector and industry group navigator) recommendations showed the sectors and industry groups as oversold heading into the fourth quarter.
Citi said the brokerage advocates “a barbell approach” to buy stocks on pullback, favoring cyclicals and growth styles, and caution on sectors that have bigger debt loads — given the higher for longer rates environment — since it could cause a drag on fundamentals.
Friday’s Citi Research Macro Think Tank report showed their recommendations:
Overweight:
- Information technology (SP500-45TR) (Upgraded from prior SIGN).
- Communication services ( XLC )
- Industrials ( XLI )
- Real estate ( XLRE )
For further details see:
Citi Research: Buy cyclicals and growth for the pullback