The
last few days have seen the biggest outflows from S&P 'growth' ETFs
on record, and as Deutsche Bank AG’s chief global strategist, Binky
Chadha, notes the cheapest U.S. stocks relative to earnings, sales and
assets are poised to turn the tables on faster-growing peers...
In a report Wednesday, Chadha cited three reasons for a rebound. The first was the ratio between the S&P 500 Pure Value and Pure Growth indexes since 2010, which indicates value shares have room to recover from a first-half slump.
Chadha also cited the likelihood of more positive economic reports and higher interest rates.