Investors could fall out of love with equities during the next 18 months as the impact of fiscal stimulus in the U.S. fades away, a strategist told CNBC on Tuesday.
But with trade tensions and political uncertainty currently “priced in,” there is still room for growth in equity markets, Mike Bell, global market strategist at J.P. Morgan Asset Management, said.
“It’s all about time horizon… If you look at the second half (of the year), I think there’s quite a lot of bad news priced in at the moment, both on the trade front, obviously political uncertainty outside of trade is pretty elevated, so we are still overweight equities,” Bell told CNBC’s “Squawk Box Europe.”
“Once you start to look beyond that (end of the year), the story becomes a little bit more complicated,” he added.