No double-dip despite short-term headwinds

ON NORTH AMERICA

Cavendish Asset Management's Tim Roberts explains why he is bullish on US stocks following a spell of negative indicators.

Despite a strong end to 2010 and a promising New Year, US stocks have run into choppy waters in the last few months as the nations’ economic recovery appears to be stalling. A recent run of weak or at best mixed economic data has spooked the markets. Manufacturing showed a worrying drop-off in April and unemployment also remains a problem. These negative short-term indicators have been compounded by transient external factors such as the fallout to supply chains from the Japanese tsunami and bad winter weather across many regions. Global macroeconomic pressures are also taking their toll...