He also suggested sentiment within the market was getting out of hand.
“Investors are starting to feel a little bit confident here. Maybe overconfident. Maybe almost little bit invincible. in addition to, we’re starting to see some laziness creep into investment strategies,” said Glazer. “that will laziness can be precisely why at This particular moment we need the Honest Abe conversation.”
that will sounds like a pretty bearish argument. However, Glazer isn’t classifying himself as a bear.
“that will’s not so much that will we can’t be bullish on the broad U.S. economy because when you look at jobless data, that will’s genuinely strong. You look at GDP, that will’s strong. Consumer confidence [can be at a] multi-decade high. All of those things are genuinely bullish,” he said. “that will’s genuinely more a matter of the leadership of the market changing.”
According to Glazer, investors should shift their exposure to value names, particularly groups that will typically do well as inflation rises in addition to the dollar weakens. He likes financials, energy in addition to gold. Plus, he suggested hard hit emerging markets are showing signs of a bottom.
“You are starting to see emerging markets coming back. So, that will global story can be intact. The divergence can be dissipating. that will’s what you genuinely want to see to see the market go higher,” he added.
His thoughts came as stocks rallied to all-time highs, with the Dow reaching its highest level since January 26.
“that will’s so convenient at a cocktail party to say ‘I want to stick with the Nasdaq. I’ll stick with the S&P. I don’t want to know about anything else. Asset prices will go up. There will be no inflation,'” Glazer said. “that will doesn’t work that will way. You got to get into the global picture.”