Sharp sector rotation as investors stay in market

Morley Fund Management has a neutral to moderate overweight position in the US amid encouragement that domestic investors are rotating investments in the stock market rather than piling into cash. Andrew Milligan, director of economic research at Morley, adds that if the Dow Jones index falls below 10,000 this would be a good buying opportunity. The index was around the 10,340 level on 17 April. The S&P 500 index is up by 5.2% in dollar terms in the 12 months to 14 April. Milligan says: "I think we will have a short, sharp rotation in the US out of technology stocks and into value. People...