Rosen: Wall Street's Underestimating the Bull Narrative

• Historical data suggests markets typically recover and trend higher a year after significant oil price surges (20% in 2 days) and geopolitical shocks.
• The energy sector is seen as a strong performer, benefiting from the AI boom's infrastructure demands and current Middle East tensions, while financials face headwinds.
• A rotation out of mega-cap tech (Mag 7) is noted, with the broader S&P 493 and equal-weight S&P 500 showing outperformance.
• Rosen believes the Federal Reserve will implement more rate cuts later in the year than the market is currently pricing in.

Phil Rosen presents a bullish outlook for markets, citing historical recoveries after geopolitical and oil shocks. He suggests 'buy the dips' is a valid strategy, highlighting energy sector strength and a potential rotation out of mega-cap tech, while anticipating more Fed rate cuts than currently priced in.