Fund managers unanimous on '08 US gloom

Following a recent visit to the US, the agency's UK-based analyst team outlined how even very long-term investors - such as WP Stewart Holdings and GAMCO Equity - are heeding caution, suggesting a prolonged period of weakness in the US economy could be on the cards. Lead analyst Simon Dorricott explained how there has been a turnaround in those sectors favoured by managers. Whereas energy stocks were out of favour in 2006, strong oil prices have pushed up the value of energy suppliers this year. In contrast, managers have been bearish on consumer discretionary stocks in 2007, while thes...