Citi Private Bank sees modest overall market gains in 2021, but loves these 'unstoppable' trends

A flag flies outside the Citigroup building in the Long Island City neighborhood of Queens, New York.

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U.S. large caps are likely to see modest gains next year as the economy recovers from Covid, but stocks that are caught up in “unstoppable” trends like green energy and 5G should outperform, according to Citi Private Bank.

“I think that U.S. large cap stocks have mid-single digit returns in 2021,” said Steve Wieting, chief investment strategist and chief economist at Citi Private Bank. Wieting said even after the more than 18% bounce in the small cap Russell 2000 in November, he sees it as an overweight and a sector that could outperform over the next 12 to 18 months.