MARKET OVERVIEW In August, investors were risk-on and helped the stock markets in particular to some new record highs. The economic recovery continues to progress but is losing some of its momentum. From a strategic point of view we see
Within this report, we present the DWS long term capital market assumptions1 as of the end of June 2020 for major asset classes. Back in April we published a report analyzing the impact of the COVID-19 pandemic on long-term return
Crude continues to oscillate, as the pace of economic recovery and uncertainty over lifting or re-imposing lockdowns drive market sentiment. A weaker U.S. dollar, negative real interest rates and uncertainty amid the coronavirus pandemic are propelling gold prices. We expect
Conventional wisdom has it that Covid-19 will speed up familiar trends, such as those toward automation and digitization. A closer look at one of the supposed beneficiaries, the Internet of Things, suggests a more nuanced picture. The ultimate outcome may
Aggressive interest rate cuts, liquidity provisions and quantitative easing worked well. Buying facilities rather serve as a backstop. Based on a diminishing marginal effect from Large Scale Asset Purchases (LSAP), the Fed might do more for longer to support
What the last few months taught us about winners, losers and survivors in European electricity markets. The Covid-19 pandemic already looks set to cause the biggest drop in global energy demand in modern history in 2020. Especially in Europe, the
This 2020 global survey is part of an annual research programme by DWS and CREATEResearch. It is designed to highlight the forward trends in passive investing. This year’s survey looks at how pension investors are using passive funds to deal
The world is going through its most severe recession since the Second World War. Unemployment and short-time working1 are at record levels in many countries, rating agencies are lowering their ratings at record …
We are cautious about the oil price after its rapid recovery. A weaker dollar, low real interest rates and higher inflation expectations are likely to support gold. We reaffirm our belief that China will meet the requirements of the phase-one
Five months into the Covid pandemic, there are signs of improvements. The risk of setbacks remains high, however. Globally, infection rates remain worryingly high. In developed markets, a resurgence in outbreaks appears likely. Despite recent progress in containing Covid-19, the
The record market slide has been followed by record-breaking stimulus – and a superfast rally. The economy is yet to follow. Coronavirus and its repercussions continue to dominate people's lives, the economy and stock markets. The calming in continental Europe's
EU policy recommendations on starting a paradigm shift We welcome the EU’s intention to ‘Rebuild Europe’ by accelerating gren building renovation1 to support economic recovery, to support our health2 , to reduce carbon emissions and improve energy security.
US Economic Outlook As an economist one has to live with uncertainty. Perhaps, that is why many economists have fallen in love with statistics and mathematics, as they promise at least some clarity. And, depending …
Americas CIO View The severe economic damage of widespread non-essential activity lockdowns to U.S. and European economies is moving behind, but we expect a slow recovery with elevated …
CIO Commodity Commentary Oil is again trading near its five-week high, with a West Texas Intermediate (WTI) price of around 29.5 dollars per barrel – a bit higher than half its end-February level. After April's rollercoaster …
Entering 2020, the long-run return forecasts across asset classes left something to be desired. The rich valuations meant that investors could only expect low returns from most asset classes going forward. A lot has changed with the …
Quarterly CIO View Around the globe, the rapidly spreading Coronavirus has created unprecedented political, public-health and economic crises. Not that you would necessarily know, if you had fallen asleep in mid-February and were only now checking …
While the numbers of new infections and related fatalities are growing with slowing momentum, the discussion around the pace and scope of easing lockdowns becomes increasingly heated. Latest GDP figures and rising unemployment rates are among other figures fueling the
Pandemic 2020: a passing moment or a new era that shapes our future? New cycles tend to bring new trends, themes and investment leadership. First-quarter earnings season and preliminary economic reports confirm recession. David Bianco Prevention measures will shift to
Investment Insights The ongoing market volatility caused by the COVID-19 pandemic has resulted in record trading volumes against a backdrop of reduced liquidity in all asset classes. Exchange Traded Funds (ETFs) have so far, and once again, proven their resilience
The Fed has expanded the Term Asset-Backed Securities Loan Facility (TALF) in an effort to improve financing for households and small businesses. Liquidity has improved dramatically for TALF-eligible assets now that both dealers and investors know the downside is relatively
Perhaps, it is a sign of the times we live in. Over the past decade, investors have had to get used to the idea of nominal interest rates falling below zero – something economists once thought would be impossible. Could
COVID-19 and the financial markets Spotlight: Fixed Income Various central bank measures and rescue packages have lifted the sentiment on the global capital market in the last days. While the curve of new infections and fatalities is flattening in many
How assessing norm violations in a portfolio context could help avoid risks. The most prominent norm violations typically relate to breaches in human rights, environmental responsibility and business ethics. The sectors most prone to norm violations are energy, consumer staples
The stimulus measures being passed in response to the coronavirus pandemic are unprecedented. However, a recession seems inevitable. Who will ultimately have to bear the costs? The scale and pace of fiscal- and monetary-stimulus measures to support the economy are
#Research on #Equities -> https://www.opiniopro.com/tag/outlook+equities/ @Opinio_Pro
"The relentless run in #riskassets over the last five months finally faded a bit in early September, as the S&P 500 fell nearly 8% and the tech-heavy #NASDAQ fell 11%. This year’s returns have been heavily influenced by the …" -> https://www.opiniopro.com/2020/09/northern-trust/an-interesting-fall/
"All eyes were on #centralbanks. As expected, the #Fed left its rates unchanged. It even said they would not move until inflation rose above 2% and stayed there for some time, a situation ..." -> https://www.opiniopro.com/2020/09/edmond-de-rothschild/central-banks-strive-to-maintain-visbility/
"Some regions of #Europe are returning to #lockdown – for instance some districts of Madrid badly hit by the second wave of the #pandemic. Yet, for now these lockdowns are ..." -> https://www.opiniopro.com/2020/09/axa/investing-to-pastures-greener/ #ecb
