The equity market benchmarks rebounded on Thursday following an omicron-driven sell-off earlier this week. President Biden has assured the nation that lockdowns will not be imposed because of the new COVID-19 variant. And the recent passage of his Build Back Better plan by the House of Representatives should, if passed by the Senate, boost the economic recovery. Therefore, cheap stocks, ICL Group (ICL) and Information Services Group (NASDAQ:III), could be ideal bets now, given their solid underlying fundamentals. These stocks are Strong Buy-rated in our proprietary POWR Rating system. So, read on.Following a sell-off due on the confirmation of the first COVID-19 omicron case in the United States, the equity benchmarks rebounded sharply on Thursday, with the S&P 500 rising 1.4% and the Dow Jones Industrial Average gaining 617.75 points. The NASDAQ Composite also gained marginally, and the small-cap Benchmark Russell 2000 added 2.7%.
The Biden administration has tightened rules regarding travel, adding the requirement that all in-bound passengers be tested within 24 hours of departure and mandating masks be worn on aircraft to fight against the new coronavirus variant. However, President Biden also assured the country he would not push for a resumption of an economic lockdown.
On November 19, the House passed the $1.7 trillion Build Back Better bill, which is expected to stimulate the broader economy along with the recently enacted infrastructure act. Given this scenario, the under-$10-stocks of ICL Group Ltd (ICL) and Information Services Group, Inc. (III) look like solid buys. These stocks have strong fundamentals and have an overall A (Strong Buy) rating in our proprietary POWR Rating system.