Strategist Manthey said the market’s defensive, commodity-heavy mix has become a liability as geopolitical tensions ease, undercutting a structure that typically benefits from risk-off positioning.
Citigroup has double-downgraded UK stocks, arguing that the market’s defensive, commodity-heavy composition is turning into a disadvantage as geopolitical tensions cool. Strategist Manthey said that mix is now a liability, signaling a weaker backdrop for a market that has often outperformed during periods when investors favored defensiveness and commodity exposure.