CHICAGO (Reuters) – If the stock market rally continues, last year’s laggards may be this year’s winners.
Many of the sectors that could do well are late bloomers in the five-year bull run. They may not seem like obvious choices, yet are worthwhile if you’re contrarian or slightly defensive.
Assuming economic fundamentals and corporate earnings remain solid, it could be a decent year for stocks overall and even better for companies that were neglected in 2013.
“I’m optimistic,” said Diane Swonk, chief economist for Mesirow Financial in Chicago, who predicts three-percent GDP growth and the creation of up to three million jobs this year.
“I haven’t felt bullish in a long time,” Swonk said at the annual economic outlook luncheon of the Executive Club of Chicago on January 9.