Chinese officials are expected to be in Washington this week to hold consultations with the U.S. ahead of high-level trade talks in October.World Economyread more
Saudi Arabia's defense spending is the world's third-largest — behind the U.S. and China, says Gary Grappo, former U.S. ambassador to Oman.Energyread more
President Donald Trump said Monday he's in no rush to respond to a coordinated attack that hit Saudi Arabia's oil industry over the weekend.Marketsread more
The price of oil could go sharply higher, depending on the duration of the disruption at Saudi oil facilities and whether there is a military response.Powering the Futureread more
Energy stocks, one of the worst-performing sectors this year, spiked Monday after an attack on Saudi Arabia's heart of oil production Saturday sent oil prices soaring.Marketsread more
The Saudi-led military coalition battling Yemen's Houthi movement said on Monday that the attack on Saudi oil plants was carried out by Iranian weapons and did not originate...Oilread more
After a series of setbacks on the road to an initial public offering, the parent company of real estate start-up WeWork is delaying the move, sources told CNBC Monday.Technologyread more
"The United States military, with our interagency team, is working with our partners to address this unprecedented attack and defend the international rules-based order that...Politicsread more
Crude oil's spike following attacks on Saudi Arabia's energy supply has experts weighing whether or not the gains will last.ETF Edgeread more
"In the old days, the averages would've plunged on this kind of oil shock. I know because I've lived through a bunch of them, starting in 1973," Jim Cramer says.Mad Money with Jim Cramerread more
Traders in the fed funds futures market on Monday were pricing in a 34% chance that the Fed will stay put on rates.The Fedread more
Equity markets around the world may have rallied by 40 percent off their September 2011 lows, but they've got about another 13 percent to go by the end of 2014, according to Citigroup.
"Global equities aren't as cheap as they were in 2011, but that doesn't mean that they are yet especially expensive," Citigroup said in a report, noting most of its strategists are setting end-2014 targets forecasting double-digit returns from here.
In 2011, equities traded at 12 times historical earnings per share (EPS), Citigroup said, but while they now trade at 17 times, EPS has been flat. This indicates that the gains have been driven by re-rating, whereby stocks trade at higher valuations, the bank said.
(Read more: Stand by…a hefty drop's on the way: Nomura's Janjuah)
But it noted that even with the gains, valuations are still in line with the longer-term median. The cyclically adjusted price-to-earnings ratio, or CAPE, is at 20 times, compared with the long-run median of 24 times as well as the 30 times in 2007, it said.
"We find this reassuring," it said. "We are also reassured that equities continue to look cheap against fixed income," it said, noting the MSCI AC World Index trades on a dividend yield of 2.5 percent, in line with U.S. Treasurys.
But it added, "it seems unlikely that future gains will be totally driven by re-rating. We now need to see some EPS delivery. Fortunately, that is what we are now forecasting." Citigroup is forecasting global EPS to grow around 7 percent in 2013 and by a similar amount in 2014.
"A resumption of global EPS growth would imply that re-rating will do less of the work from here," it said, expecting about half of equities' gains will be driven by EPS increases and half by re-rating.
"We can't be as bullish as we were a year ago, but we think it is still too early to turn bearish on global equities," it said.
For a value investor, Citigroup said valuations favor emerging markets and the U.K. over Australia, Japan and the U.S. as they are the most expensive regions. Among sectors, IT, financials and energy are the cheapest, while health care, materials and consumer staples look expensive, it added.
(Read more: Big money turning sights outside the US in 2014)
However, Citigroup advised an approach balancing value and growth strategies, considering not just price-to-earnings ratios, but also EPS growth, which would favor emerging markets, Japan and Europe over the U.S. and Australia.
It prefers cyclicals over defensive stocks, picking consumer discretionary, materials, financials and industrials over consumer staples, telcos, healthcare and energy.
— By CNBC's Leslie Shaffer; Follow her on Twitter