The world economic system will bounce again shortly from the coronavirus outbreak, and buyers can buy into cyclical shares to catch the comeback, a high JPMorgan strategist stated.

The hit to the worldwide economic system throughout the first quarter will largely be made up later within the yr, world asset strategist Marko Kolanovic stated in a be aware to shoppers on Wednesday.

"We had been trimming threat from our mannequin portfolio the previous couple of months given the robust market rally and uncertainty round this epidemic, however we now see the chance/reward as more and more skewed to the upside for dangerous belongings and use the present pullback so as to add again to cyclical exposures on the margin," Kolanovic stated. 

The mannequin portfolio for the JPMorgan staff is chubby small and mid-cap shares and the worth and cyclicals classes, in keeping with the be aware.

"We anticipate the impression of COVID-19 to be non permanent and mitigated by broad...