Sina US Stock News Reuters reported on the morning of the 20th Beijing time that BlackRock (BlackRock), the world's largest asset management company, raised its rating on the US stock market because the profit momentum of US companies is very strong.

In a research report released on Monday, BlackRock raised its rating of the US stock market for the next three months from “neutral” to “Overweight” (Overweight).

Richard Turnill (Richard Turnill), the company's global chief investment strategist, pointed out that US tax cuts and government spending plans will drive corporate profit growth, and said that the profit upgrade and downgrade ratio of US large-cap stock companies is at the highest level since records began in 1988.

Tenier said that the sharp decline in the stock market in early February made US stock valuations look more attractive. This is the first time since May 2016 that BlackRock has conducted a comprehensive positive assessment of the US stock market.

“We believe the upcoming positive impact of America's new tax and spending plans is still underestimated by the market,” Ternier said. “We found that in this phase of the bull market, profit growth is more important than short-term valuations.”

“Economic strength has changed the tone of earnings momentum, and US tax cuts and government spending plans will fuel this trend.”