US equites have overshot machine learning estimates , priced at 110%

<p>Via a note from HSBC, analysts at the bank expect equities to take a breather:</p><ul><li>“we remain constructive on equities strategically"</li><li>"we expect a temporary pause in the rally” </li><li>“Global equities have overshot our machine learning (ML) model’s prediction by 10% over the last 3 months”
</li></ul><p>HSBC specifically mention stock pricing vulnerabilities:</p><ul><li>any hawkish signalling from the Fed</li><li>upside surprises in inflation</li></ul><p>

HSBC says the most attractive sectors include consumer staples, energy and health care. Also like such sectors for equities in China, the UAE and Switzerland.</p>

This article was written by Eamonn Sheridan at www.forexlive.com.