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ClearBridge Economic & Market Outlook for 2020

December 11, 2019

Portfolio Managers Albert Grosman and Michael Kagan join Jeff Schulze, CFA to debate what will be the key drivers of stocks in the year ahead, the likelihood of a recession over the next 12 months and how they are positioning their strategies for the wide range of probabilities inherent to a presidential election cycle.

Related Perspectives

Momentum is Meeting Resistance
Appreciation 3Q26: Strong earnings growth continued to support equities, but sticky inflation, rising interest rates and deteriorating market breadth made the rally increasingly vulnerable.
Keeping Discipline in a Momentum Market
Small Cap 2Q26: Small caps rebounded sharply in the second quarter, but concentrated AI- and momentum-led leadership challenged a diversified, risk-aware approach.
Rally Leaves Room for Reversal
Appreciation 2Q26: We would view a correction, even a reasonably sharp one, as healthy for the long-term durability of the bull market.
Volatility Returns, Selectivity Matters
Appreciation 1Q26: Amid rotating market leadership and heightened inflation, policy and labor risks, a few positive trends urge selectivity and strong fundamentals in portfolio construction.
The Probability of a Correction Has Risen
Appreciation 4Q25: While stocks have a positive backdrop, speculative risks appear to be building especially around AI, and there is little valuation support to fall back on.
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  • Past performance is no guarantee of future results.

  • Past performance is no guarantee of future results. Copyright © 2022 ClearBridge Investments. All opinions and data included in this commentary are as of the publication date and are subject to change. The opinions and views expressed herein are of the author and may differ from other portfolio managers or the firm as a whole, and are not intended to be a forecast of future events, a guarantee of future results or investment advice. This information should not be used as the sole basis to make any investment decision. The statistics have been obtained from sources believed to be reliable, but the accuracy and completeness of this information cannot be guaranteed. Neither ClearBridge Investments, LLC nor its information providers are responsible for any damages or losses arising from any use of this information.

  • Performance source: Internal. Benchmark source: Russell Investments. Frank Russell Company (“Russell”) is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell® is a trademark of Frank Russell Company. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes and/or Russell ratings or underlying data and no party may rely on any Russell Indexes and/or Russell ratings and/or underlying data contained in this communication. No further distribution of Russell Data is permitted without Russell’s express written consent. Russell does not promote, sponsor or endorse the content of this communication. 
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