BlackRock’s Ten Reasons To Invest In US Equities

By Douglas A. McIntyre Published Apr 15, 7:24AM EDT

From Reuters, a list of the ten reasons that investors should put money into US equities:

1) Investor and consumer sentiment measures are very pessimistic, which often marks the bottom of equity market falls.

2) Monetary policy in the United States is being eased earlier and more rapidly than is usual.

3) U.S. households are about to get fiscal stimulus checks from the government.

4) The current earnings recession of negative year-over-year comparisons will last four quarters. Q2 2008 will be the fourth.

5) The cheap U.S. dollar means boom conditions for U.S. exports, a significant offset to the residential real estate recession.

6) The health of the non-financial corporate sector remains strong, with healthy cash flows

7) Credit-related downturns often include the failure of an important financial organization, followed by double-digit growth in the S&P 500 .SPX. The failure of Bear Stearns on March 17 has passed.

8) Credit markets have improved noticeably since Bear Stearns’ failure.

9) Technical factors have also improved since March 17, including the fact that up-day volume has been heavier than down-day volume.

10) The earnings yields of equities compared with 10-year Treasuries are at their best level in 30 years.

Our thanks to the news service for publishing the list. The commentary is also available from BlackRock.

Douglas A. McIntyre

Follow 24/7 Wall St. on Google

About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.