Market Strategy Video February 2014
Financial markets, especially equity, have been consolidating for several weeks. How is it a buying opportunity? On the other hand, it is yet too early to become optimistic again on emerging markets. Indeed, several currencies have declined sharply in recent weeks as a direct consequence of weak fundamentals. The rebalancing will take time… As for mature stock markets, we remain positive. Explanations in chapter 3. Last of all, we forecast a relatively moderate but regular increase in bond yields during the course of 2014. Central banks will be less accommodative and inflation is bottoming. Expected returns on fixed income assets therefore need to be downgraded.