Will This Rally Be Different?

As the stock market shows signs of a rally much like that of 2015, should we be optimistic that it will reach new highs or prepare ourselves for another disappointment? In a recent article in Barron’s, James Paulsen of Wells Capital (a unit of Wells Fargo & Co.) thinks it could be different this time, […]

Stodgy Dividend Payers On Top So Far in 2016

The Wall Street Journal reports on investors’ recent moves toward high-dividend stocks. Stocks in the S&P High Yield Dividend Aristocrats Index (which have increased their dividends every year for at least 20 years) are up 1.9% this year, while the S&P is down 4.3%. The return on the Dow Jones U.S. Dividend 100 Index (which […]

Paulsen Urges Shifting More Towards International Stocks

US investors should start considering a heavier weighting to international stocks, according to James Paulsen of Wells Capital Management. Paulson, who is chief investment strategist at Wells, says that a commodity-price rebound will benefit international stocks more than the domestic names.  “The U.S. economy is more consumer-centric compared to foreign economies,” Paulson wrote in a […]

Paulsen: Look Deeper at Valuations

Nearly six years into the bull market, the S&P 500 is trading at somewhat elevated but far from euphoric valuations. But in a recent note, Wells Capital’s James Paulsen says that doesn’t tell the whole story of the overall market’s valuation.

Paulsen: QE Has Had Little Impact

One strategist who likely is pleased with the Federal Reserve for finally beginning to taper its asset purchasing plan: Wells Capital’s James Paulsen. Paulsen said last week at the Wells Fargo 2014 Investment Outlook conference that quantitative easing “has not had much impact,” except for there now being $3.5 trillion in bank reserves that has […]

Paulsen on the Debt Crisis, and Earnings Upside

Wells Capital’s Jim Paulsen says he has been viewing the debt debacle in Washington as a buying opportunity, not a long-term problem. Paulsen tells CNBC that he’s high on non-U.S. stocks right now; in the U.S., he likes cyclical areas like industrials, materials, and financials. Paulsen also talks about why he thinks third-quarter earnings and […]

Paulsen: Market “Digesting” Big Issues

Wells Capital Chief Investment Strategist James Paulsen says that, with the market digesting several major issues, he expects stocks to remain in a trading range for the remainder of the year. Paulsen tells Bloomberg that the market is digesting three major things: a big upward move in multiples; a repricing of long-term interest rates; and […]

Paulsen: Tapering Will Lead To More Confidence, Not Less

Wells Capital’s James Paulsen thinks that the “great Fed myth” about the stock market rally being a “sugar high” will soon be debunked. Paulsen tells Bloomberg he thinks the market’s moves this year have mainly resulted from increased confidence, not the Federal Reserve’s policies, evidenced by rising price/earnings multiples. CEOs remain hesitant, however, which has limited […]

Paulsen: Fed A Hindrance To Long-Term Gains

Wells Capital’s James Paulsen says that, with valuations low compared to historical standards, stocks could provide investors with double-digit annual returns over the next decade — if the Federal Reserve gets out of the way. “In the post-war era, when the inflation rate has been as low as it is today, the U.S. stock market […]

Paulsen: This Isn’t a Sugar High

Wells Capital’s Jim Paulsen thinks stocks are on their way to record highs, and says the economy is stronger than the Federal Reserve is giving it credit for. Paulson tells Bloomberg that he sees growth in the U.S. continuing to outpace expectations — he expects GDP to grow at about 2.5% to 3% this year. He also thinks […]

Paulsen: Strengthening Economy Driving Market

Wells Capital Management’s Jim Paulsen says the recent rally in stocks isn’t a sugar high resulting from the Federal Reserve’s actions. “This [rally] is a fundamentally driven advance in the stock market by growth in the economy,” Paulsen tells CNBC, pointing to economic stabilization in Europe and China, and improvement in the U.S. He also […]

Could Wage Inflation Rebound Soon?

Wells Capital Management’s Jim Paulsen says that declining wage inflation — which has allowed the Federal Reserve to continue its “crisis-like” loose monetary policy — may be coming to an end sooner than many think.  Paulsen says that for the past 30 years or so, wage inflation has continued to decline for two-and-a-half to four […]

Paulsen Sees Signs of Solid Growth

Wells Capital Management’s Jim Paulsen sees a number of positive signs for the U.S. economy. Paulsen tells Bloomberg TV that third-quarter growth may have been around 3%, and that a number of factors — housing, job creation, and lending activity among them — are providing the economy with a boost. He sees growth coming in […]

Paulsen: Rally Has Legs

Wells Capital’s Jim Paulsen thinks the stock market’s recent climb has more to do with improving fundamentals than Federal Reserve policies — which means the rally could have some powerful legs. “I think it’s going to be a multiyear recovery,” Paulsen told MarketWatch’s Howard Gold. “I think the great bulk of this move has been […]

Paulsen: Say ‘No’ To QE3

Wells Capital Management’s Jim Paulsen says the Federal Reserve shouldn’t undertake another round of quantitative easing, and instead should focus on restoring confidence. “I think the Fed, by continuing to respond every time the stock market dips as though they’re panicked that we’re going to fall into a depression, is helping to keep confidence low,” Paulsen […]

Paulsen Likes Industrials, Emerging Markets

Wells Capital’s James Paulsen says he’s finding a lot of good values in emerging market stocks and in US stocks that are more economically sensitive. Paulsen tells BloombergRadio’s “Bloomberg Surveillance” that he doesn’t think the economic expansion is over, and that fears of a hard landing for China and a recession for the US have […]

Europe Won’t Derail U.S. Market, Paulsen Says

Wells Capital Management’s James Paulsen says Europe’s woes will create volatility for the U.S. market, but won’t derail it. Paulsen tells Bloomberg that the sensitivity of financial markets to the Europe debt news is “decaying”. He says he thinks the U.S. market will be driven more by what’s happening in the emerging market world and […]

European Woes: Buying Opportunity or Cause for Concern?

James Paulsen of Wells Capital says he thinks the latest European debt fears will, once again, prove to be a buying opportunity for investors. Paulsen also tells Bloomberg that declining mortgage rates and gas prices are providing a stimulus to the economy, which is doing better than expected. Lincoln Ellis of Strategic Financial Group offers a […]