“Monday’s 2.3 percent drop in the Standard & Poor’s 500 Index represents a “natural phenomenon” that makes stocks a good bargain, says Savita Subramanian, head U.S. equity strategist for Bank of America Merrill Lynch.
“I do see this as a great buying opportunity for some of the higher-quality names in the S&P 500 that have sold off on emerging market exposure,” she told CNBC.
U.S. stocks historically experience 5 percent corrections about three times a year, particularly around shifts in monetary policy, Subramanian says.
The S&P 500 has lost 5.8 percent so far this year, closing at 1,741.89 Monday. The Federal Reserve last week announced the second leg of tapering of its quantitative easing (QE), cutting its monthly bond purchases by $10 billion….”Twitter