There’s an old adage called “climbing a wall of worry” that’s used to describe a situation where markets continue to climb in the face of uncertainties. Certainly there is no shortage of uncertainties today, yet US stocks have clawed their way to new all-time highs. Franklin Equity Group Portfolio Manager Grant Bowers recognizes there may be a few cracks emerging, but says there are still two main reasons to be optimistic about the outlook, and believes there is still room for US equities to run in 2020.

Listen to our latest “Talking Markets” podcast to hear more from Grant on US equities, along with our Andrew Burkly, who shares a European outlook.

As we near 2020, we’ve received questions from growth-minded investors in particular about whether the US equity bull market still has room to run over the next decade. That’s an understandable concern, considering the United States has been in one of the longest periods of economic expansions in history—dating back to June 2009.1 However, it has also been very shallow and slow compared with similar expansionary periods in the past. This slower rate of growth is a result of the severity of the global financial crisis a decade ago, and the low-inflation, low-interest-rate environment that followed.