The Fed halted tightening and propelled equities to their fastest recovery ever following a bear market. This decision was made despite the lowest unemployment rate in 40 years. Does that make sense? Also, a possible deal with China.
It was another rollercoaster ride for equity markets but this time ending on a high note, with the S&P 500 Index delivering a thrilling 13.6% return in the first quarter, the best start to a year since 1998.
Emerging market equities are inherently volatile. But investors shouldn’t be deterred. If investors have a long time horizon, the emerging markets are expected to pay returns well in excess of developed market equities.
Our view over the past few quarters has been that EURUSD should be rangebound, as the cyclical outperformance of the US economy is offset by the eurozone’s relatively better balance of payments position.
Michael discusses this year’s Eye on the Market Energy paper. Topics include the unattainable objectives of the Green New Deal, an overview of the world’s de-carbonization challenges, Germany’s energy transition and Trump’s War on Science.