Top Picks from Greg Newman: Norbord $NBD, Manulife $MFC, and Hudson’s Bay Co. $HBC

MARKET OUTLOOK:
Markets are only easy when looking backwards and this period is certainly no exception. Most of the “bad parts” of the market - resources and energy - still have not bottomed and most of the “good” parts are getting crowded in my opinion. The U.S. markets have everything going for them (relative to everyone else) except valuation. Europe is less expensive and China is cheaper still. While a December Fed rate hike might be a “live” possibility, in my opinion, falling global bond yields are still the greater concern. I believe a global recession will likely be averted given the policy firepower that China has and their motivation to act. As such I am constructive on stocks as they are still far cheaper than bonds. For Canadian dollar accounts, buy Europe, Global Technology and the U.S. on a currency hedged basis and buy Canadian dividend stocks that have catalysts to go higher. (more)