Global stocks got a boost after the announcement of China's near-$600 billion stimulus package. After last week's rollercoaster ride, CNBC's experts believe there is a strong chance that this is the beginning of a major year-end rally.
Stay Tuned for a Massive Rally
There is a 60% to 70% chance that we might see a massive rally from this point, believes Clem Chambers, CEO of ADVFN. He tells CNBC why he has turned bullish despite the recent spate of grim economic data.
Get Ready for a Rally
After seeing a test of the lows recently and removing the uncertainty of the US presidential election, markets are ripe for a rally, which could last from one week through to the end of the year, Dodge Dorland, CIO of Landor Capital Management said.
Technology and the food are sectors that will lead the rally, according to Dorland.
He tells investors to look at food companies like Kelloggs and General Mills, as well as the oversold stocks that have taken the biggest hits recently.
Dorland also expects more pressure to the downside for commodities.
Oil to Fall to $50?
Oil could continue to fall toward $50 a barrel as weak demand has "really brought the price down", Rob Laughlin from MF Global said Monday.
DAX Needs Higher Volumes to Rally
Short term, Germany's DAX index will trade higher. But we need higher volumes and the resistance level at 5,380 to be broken to the upside within the next 6-8 weeks, in order for the index to rise above 6,000, Daniel Stillhart from LB Swiss said.
Small-Cap Stocks Still Risky
"To try and pick stocks in this environment is tantamount to picking up coins on the motorway," James Corsellis from Marwyn Capital said while considering the small-cap sector.
Get Back into China Stocks - with Caution
If you look at the fundamentals, Chinese stocks have very attractive price earnings ratio levels. Investors coming from cash positions should cautiously step into Chinese stocks, advises Martin Henneck, senior manager of private clients at Tyche.
Time to Get Back Into China?
As Enzio von Pfeil, CEO of EconomicClock.com believes that China's stimulus package will take time to flow through to the real economy, he tells CNBC that now is still NOT the time to get back into the Chinese markets.
China's Rally Only Short Term?
The gains made by stocks benefiting from China's stimulus package are unlikely to last, says Robert Howe, CEO of Geomatrix. He advises investors not to hold on to these stocks for too much longer.
How to Invest in China?
Overweight Asia's domestic plays and underweight its export sector, advises Peter Elston, chief strategist at Aberdeen Asset Management Asia.
The Best Emerging Market to Invest In
Adrian Mowat, chief Asian equity strategist at JPMorgan favors China over other emerging markets. He explains his upbeat outlook to CNBC.
China's Stimulus Package: Bad for the Dollar?
China's stimulus package may be negative for the dollar, says David Forrester, associate director of Barclays Capital. He tells CNBC the two reasons contributing to his outlook for the dollar.
Commodity Prices to Rise in 12 Months Time
As commodities prices fall, producers are cutting their output and their future expansion plans. In 12 – 18 months time, these supply cuts will have a positive impact on commodity prices, according to Greg Canavan, head of Australasian research at Fat Prophets.
Miners Rio Tinto and BHP Billiton will face a tough time with demand slipping, but they are currently very well valued and China's stimulus package will benefit the two in the long term, Canavan said.
Looking to Japanese Growth
Japanese corporate valuations are very promising at the moment, but stick to infrastructure plays, Peter Sorrentino from Huntington Asset Advisors told CNBC.
China's Growth May Only Jump-Start in 2010
China's stimulus package might not be able to turnaround the major pulse of its growth till the second-half of 2009, or even 2010, says Anthony Morriss, senior currency strategist at ANZ.