Merrill's Quinlan: Curb longer-term expectations, but buy the dips

Joe Quinlan, head of CIO market strategy for Merrill and Bank of America Private Bank, says he expects some near-term choppiness, but longer-term he is expecting that volatility to be a buying opportunity because "the S&P 500, the U.S. economy, you want to own it forever." Quinlan says that investors need to recognize that there will be drawdowns, but they are resetting and re-pricing a market and encouraging investors to diversify, mitigate the hard times and stay focused on their ultimate goals. Quinlan says that he is not expecting a recession for several more years — until some of the artificial-intelligence frenzy calms and there's more clarity on the ultimate winners from it — but he says investors should expect a "good year" for 2027, but says he expects the market to deliver modest single-digit gains into at least 2028. Mark Hackett, chief market strategist for Nationwide, discusses survey research from the Nationwide Retirement Institute, which found that more than three-quarters of non-retired investors are concerned about a U.S. economic recession in the next 12 months, but very few of them are changing the way they invest to reflect those worries  instead, Hackett says they are buying the dips and, in some cases, taking on more risk. Hackett says it highlights another discrepancy between hard and soft data — the way that consumer sentiment numbers show that people are miserable but spending data shows they haven't curtailed habits — showcasing why Wall Street has continued climbing the proverbial wall of worry, overcoming investor fears to return to record levels. Plus, Gary Fitts, a retired Army lieutenant colonel, discusses his strategic approach to life, detailed in his new book "The Longevity Triad: A Practical Guide to Building a Strong Body, a Sharp Mind, and a Secure Future."