The US stocks rally is driven by optimism that things are 'not as bad as feared,' but this may not last, Wells Fargo strategist warns

Fri, 01/27/2023 - 06:59

A big screen display of stock prices hangs behind traders working at the New York Stock Exchange NYSE. — A big screen display of stock prices hangs behind traders working at the New York Stock Exchange NYSE on May 9, 2022.
Michael Nagle/Xinhua via Getty Images

The rally in US stocks may prove to be "fleeting than long-lasting," according to a Wells Fargo strategist.
That's because investor sentiment going into earnings season this year was so low that the only way is up.
"When you really lower the bar it's hard to trip over," Anna Han told Bloomberg.

US stocks have kicked off 2023 on a high as a risk-off tone pervades markets, but the rally may not last for long, according to a Wells Fargo strategist.