BlackRock's report "The Great Yield Reset: Bond ETFs and the Generational Opportunity in Fixed Income" presents a groundbreaking shift in the bond investment landscape. Following the tumultuous bond market of the previous year, yields are rejuvenating across most fixed income
The guide "Investor’s guide to the debt ceiling" by BlackRock underscores potential market volatility in light of the ongoing debates among Congressional leaders regarding raising the US debt ceiling. Despite the looming uncertainty, BlackRock maintains confidence in Congress's ability to
In de laatste dertig jaar is er aanzienlijke vooruitgang geboekt op het gebied van wereldwijde voedselproductie en hongerbestrijding. Helaas lijkt deze trend de afgelopen vijf jaar te zijn omgekeerd. Experts wijzen op verschillende onderliggende trends, waaronder een groeiende wereldbevolking die
The main theme of the text revolves around the recent banking crisis and the challenges faced due to policy tightening. The author highlights the Fed's response to regional bank failures, providing liquidity provisions to protect depositors and prevent widespread economic
"Navigating China: Beyond the Reopening" discusses the challenges and opportunities that investors face as China moves beyond its initial reopening phase. The authors highlight the importance of alternative data in understanding the country's economic activity, policy moves, and geopolitics amid
In "Market views from BlackRock Fundamental Equities," the author navigates the complex investment landscape of the first quarter marked by high inflation, rate hikes, and a short-lived stock rally. Equities remain appealing for long-term investors, but as Q2 begins, it's
BlackRock suggests viewing cash and short-term investments as a separate asset class that can deliver attractive risk-adjusted returns, stability, and liquidity in a fixed income portfolio. Effective segmentation strategies can help individual and institutional investors maximize returns on cash holdings.
The regime of greater economic and market volatility is playing out – and not going away. Central banks won’t ride to the rescue in recession, contrary to what investors have come to expect. This regime requires a new investment playbook.
A new world order is taking shape. The Ukraine war and U.S.-China competition have fueledfragmentation and the emergence of geopolitical blocs. There has been a dramatic reduction in cooperation among major powers. Our BlackRock Geopolitical Risk Indicator has declined from
Assessing the impact of the Inflation Reduction Act and other recent legislation on the transition to a lower-carbon world. The transition to a lower-carbon economy is a driver of investment risk and return for our clients’ portfolios – so we
Peak inflation appears to have arrived. What’s next? The central bank narrative has shifted from a focus on the pace of tightening to the terminal rate required to bring inflation back down to the targeted level. Throughout 2022, expectations for
The Russian invasion of Ukraine is the most serious security situation and humanitarian crisis in Europe since WWII, in our view. It’s also the most dangerous standoff between the U.S. and Russia since the Cuban Missile Crisis. Our BlackRock Geopolitical
We enter 2022 with a lot to consider. The paths of inflation and interest rates, the profound effects of megatrends such as digitization and decarbonization and numerous sub-themes all demand our immediate attention. As private market investors we view this
Balancing acts. As the Fed walks the line between curbing inflation and averting recession, anxious investors are seeking to balance the two risks. Amid the uncertainty, we believe stock selection matters more. As Q4 begins, we see …
BII Global weekly commentary The new regime of macro volatility is playing out with weaker growth, persistent inflation and volatile markets. We stick with our dialed-down risk stance. U.S. stocks slumped and yields surged on a renewed rise in core
Weekly commentary – August 15, 2022 Stocks are rallying as markets believe inflation is waning and the Fed will slow hikes soon. We don’t think the rally is sustainable. Why? We see the Fed hiking rates to levels that will
Market views from BlackRock Systematic Investing: Central bankers across the world are facing a “Jaws”-sized inflation problem. Like Roy Schneider’s character in the shark-themed summer movie classic, they are now realizing they are going to “need a bigger boat” to
The transition towards a decarbonized economy is underway. It will involve a massive reallocation of resources. Economies will be reshaped as carbon emissions are cut, inevitably impacting portfolios. •As an asset manager, BlackRock’s fiduciary role includes helping our clients navigate
As bond ETFs turn 20 years old, we believe four trends will propel global AUM to USD 5 trillion by 2030 Twenty years ago, computerised stock trading was reshaping the unseen market plumbing that connects buyers with sellers. Pit-style trading
Centrist Emmanuel Macron was set to secure a second term as France’s president, heralding a deepening of European integration at a time the continent is under extraordinary stress. Macron fended off a challenge by euroscepticMarine Le Pen for the second
Geopolitical Risks – April update The Russian invasion of Ukraine is the largest, most dangerous military mobilization in Europe since WWII. It has upended the geopolitical order, with profound implications for financial markets and the global economy. Indeed, our overall
BII Global weekly commentary We see the Ukraine war reducing global growth, increasing inflation and putting central banks in a bind. We prefer developed stocks in the inflationary backdrop Stocks led by European equities bounced from 2022 lows last week,
Global outlook – Q2 2022 update Both stocks and bonds are down year-to-date as policy confusion and Russia’s invasion roil markets. We still see stocks up and bonds down for a second straight year – a first since data started
The geopolitical crisis in Ukraine creates a stagflationary shock for global economies. Rising commodity prices have the potential to add momentum to already runaway inflation. Higher goods and services costs may hurt consumer confidence and create a drag on economic
BII Global weekly commentary We up our strategic overweight to developed market (DM) equities, but near term elevated geopolitical tensions keep our tactical shopping basket on hold. Equities retreated as investors took renewed fright over the military stand-off involving Ukraine,
When markets get volatile, it can be tempting to change course. Each crisis, from geopolitical risks to changes in monetary policy, can feel daunting. But rather than trying to predict what happens next, it’s critical for investors to think clearly
BII Global weekly commentary We stick with our modest equities overweight but are not buying the recent dip yet. The main reason: confusion over the supply-driven macro environment. Stocks fell further as the Fed flagged a likely rate hike in
The transition to decarbonize the world is happening. Whether the goal of net-zero carbon emissions is achievable by 2050 is far from certain. What is clear: Ignoring the transition is no longer an option. Understanding how the journey will unfold
BII Global weekly commentary We stick with our modest equities overweight but are not buying the recent dip yet. The main reason: confusion over the supply-driven macro environment. Stocks fell further as the Fed flagged a likely rate hike in
The transition to decarbonize the world is happening. Whether the goal of net-zero carbon emissions is achievable by 2050 is far from certain. What is clear: Ignoring the transition is no longer an option. Understanding how the journey will unfold
BII Global weekly commentary We stick with our modest equities overweight but are not buying the recent dip yet. The main reason: confusion over the supply-driven macro environment. Stocks fell further as the Fed flagged a likely rate hike in
Professionally managed funds offered by U.S. asset managers—such as mutual funds and exchange traded funds (ETFs)—have made it easier and more cost-efficient for millions of American investors to access markets. Over the past few decades, American families’ household assets invested
Following on the heels of a tumultuous year, 2021 featured both a recovery and new risks as the world continued to grapple with the COVID-19 pandemic. The S&P Municipal Bond Index finished 2021 with a gain of 1.77% as demand
Using a systematic approach to target consistent alpha Not just active, systematic active In decades past, investors have largely relied on information supplied by companies themselves to understand how business conditions and fundamentals were evolving. Financial statements, meetings with management
Living with inflation – We expect inflation to be persistent and settle above pre-Covid levels. Central banks should kick off policy rate hikes but remain more tolerant of price pressures, keeping real interest rates historically low and supportive of risk
BII Global outlook We are entering a new market regime unlike any in the past half century: We see another year of positive equity returns coupled with a down year for bonds. The powerful restart of economic activity will be
As U.S. inflation is hitting three-decade highs, market talk has been all about “liftoff:” When will the Federal Reserve and others start raising their policy rates? This is old news in emerging markets (EMs), where many countries have already raised
Weekly commentary: Surging natural gas and coal prices amid a powerful economic restart have exposed a lopsided transition toward low-carbon power. We still see an orderly transition in the medium term – but with bumps on the way that could
The big emerging question Climate change is a global problem: without a successful transition to net-zero everywhere, climate risk is unmanageable anywhere. Emerging markets (EMs) are essential to the global transition – now accounting for 34% of global carbon emissions
BII Global weekly commentary We believe the debt ceiling dispute will eventually resolve but could trigger more volatility. The broadening economic restart keeps us tactically pro-risk. U.S. job growth slowed sharply in September, but we see it as unlikely to
BII Global weekly commentary We stay tactically pro-risk amid the broadening economic restart, with negative real rates supporting risk assets – as per our new nominal theme. The Fed signaled it will start to taper around the year-end. Its reluctance
BII Global weekly commentary Europe is in the spotlight this month, with a key European Central Bank (ECB) meeting and a pivotal German election that could have significant medium-term implications for the fiscal stance of Europe’s largest economy. We see
Portfolio perspectives – August 2021: The volatility we have seen just in the two months since we published our midyear investment outlook reflects – in our view – the unusually wide range of divergent yet plausible economic outcomes that potentially
Slower activity We see last week’s developments in line with China’s long-term hawkish macro policy stance and regulatory clampdown as the country pursues quality growth. This process is not a straight line, and we see a dovish shift in the
We see equities in developed markets (DMs) outside the U.S. as better positioned to capture the …
Systematic Fixed Income Outlook: BlackRock’s quant bond experts tackle some hard questions around the recent inflation data. What is behind the headlines? Are rising prices just temporary or the start of something bigger? What does greater inflation uncertainty mean for
The narrative around China has shifted away markedly, in our view, from concerns about the health of its financial system and credit-fueled growth. Its economic and market outperformance through yet another global shock has brought sharply into focus the important
Oil and industrial metals have rallied since late-2020 on expectations for a swift economic restart, sparking talk of a new commodity “supercycle.” We see a more nuanced outlook – with a divergence across different commodities. The lift for oil from the economic restart is likely to be transitory, while some metals may benefit …
What’s in store for emerging markets? Q1 2021 Outlook Emerging markets experienced a strong recovery both in activity and capital inflows in Q4 2020, supported by intense search for yield and a more optimistic global growth outlook thanks to vaccine
Downgrading government bonds Weekly commentary We broaden our tactical pro-risk stance in light of major developments since the publication of our 2021 outlook in December: the vaccine rollout and up to $2.8 trillion of additional U.S. fiscal spending this year.
