Here’s why UBS thinks a trusted stock-market strategy that’s worked for years is now a ‘losing proposition’

Buying into stock market dips has worked very well over the last decade, but UBS strategist Francois Trahan says he thinks it’s past its expiration date. Trahan says buying the dips works when the economy is getting stronger, but that’s no longer the case. While it’s always possible for stocks to bounce back from short-term losses, the tactic becomes less and less likely to pan out as economic data like Purchasing Managers’ Indexes weaken.

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