Stock markets to sustain rally in 2021 amid vaccine-led recovery: analysts

Published Mon, Jan 4, 2021 · 03:09 PM

THE recent market rally is expected to extend into this year as pandemic laggards continue to gain ground amid the global Covid-19 vaccine rollout, though economic recovery will be gradual and uneven across sectors, according to market watchers.

This comes as the strong rebound of cyclical and value stocks signals a broadening market rally, DBS's chief investment officer Hou Wey Fook told the media on Monday at its 2021 first-quarter market outlook.

Singapore, for instance, will stand to benefit from a cyclical recovery given that stocks in the Republic are leveraged to tourism and domestic consumption, according to DBS.

Likewise, RHB analyst Shekhar Jaiswal noted in a report on Monday that there are opportunities for the underperformers of 2020 to play catch-up in 2021, as busine…