Bloomberg (January 21)
“In a week marked by fresh recession angst from Wall Street to Davos, JPMorgan Chase & Co. finds the odds of an economic downturn priced into financial markets have actually fallen sharply from their 2022 highs.” In October, “a contraction was effectively seen as a done deal across markets.” Now, “according to the firm’s trading model, seven of nine asset classes from high-grade bonds to European stocks now show less than a 50% chance of a recession. That’s a big reversal.”
Tags: Angst, Asset classes, Bonds, Contraction, Davos, Economic downturn, Financial markets, JPMorgan Chase, Recession, Stocks, Trading model, Wall Street
Investment Week (May 18)
“Credit fundamentals have worsened since the market sell-off began, although central banks could provide some companies with a soft landing and many firms have drawn on their credit lines in a bid to stay afloat.” Even though “the impact is highly correlated across geographies, industries and asset classes…the potential outcomes are too severe to only affect equities and credit-market fundamentals have undoubtedly been impacted.”
Tags: Asset classes, Central banks, Correlated, Credit, Equities, Fundamentals, Geographies, Industries, Market, Outcomes, Sell-off, Severe, Soft landing, Worsened
Institutional Investors (August 15)
“As earnings season winds down, investors around the globe are left to consider how a shifting macro environment will impact different asset classes and geographies.” Fears of a continuing yuan devaluation “will factor into perceptions of nearly all the major data points that will emerge.”
Tags: Asset classes, Data points, Devaluation, Earnings, Geographies, Investors, Macro environment, Yuan
Institutional Investor (August Issue)
“In the wake of the financial crisis a few years ago, it seemed as if the world economic order had been turned upside down” The U.S, Europe and other established markets appeared risky and emerging markets “that once seemed risky began to look like a sure bet…. Today the supposed new world order already seems, well, old. Emerging markets have been among the worst-performing asset classes this year, and capital has been flowing out at a record pace in recent weeks.”
Tags: Asset classes, Economic order, Emerging markets, Established markets, Europe, Financial Crisis, Risk, U.S.
