The big concern for equity markets right now
Powers Advisory Group Managing Partner Matt Powers shares his insights on current economic and market conditions, especially as earnings season continues to unfold. Powers observes that uncertainty surrounding Trump's policies is "clearly pushing stocks" higher. While discussing mega-cap stocks, he notes that valuations remain "stretched," yet advises investors to maintain their positions, citing potential tailwinds from Trump's pro-AI stance. "History shows the market can hold high valuations," he explains. "The concern here" is whether this could lead to a significant earnings miss for major companies set to report in the coming weeks. On potential investment opportunities, Powers highlights regional banks, emphasizing that "the underlying fundamentals remain solid" for this portion of the financials sector. To watch more expert insights and analysis on the latest market action, check out more Wealth here. This post was written by Angel Smith