JPMorgan Chase states that investors can take advantage of stock market weakness to increase allocations

JPMorgan strategists say investors can use periods of weakening stock prices to increase their equity allocations. Even though geopolitical risk headlines are coming out frequently, constraints in the military, political, and economic arenas mean the situation is unlikely to escalate for the long term. While JPMorgan strategists are cautious about “AI risk stocks,” they believe these stocks may see a tactical rebound in the short term; however, they expect to sell them once the opportunity arises during that rebound, within 12–18 months. JPMorgan still favors emerging markets over developed markets and remains optimistic about the mining sector.