The stock market’s recovery is approaching the nine year mark and appears to have the potential to continue for a few more years.
We suspect the slope of the linear regression line is not as steep as those who use P/E to attempt to predict future returns believe.
We expect a constructive global growth environment to persist into 2018. While there is potential for a temporary slowdown, a significant deviation from broadly positive trends across risk asset markets seems unlikely. How might this differ across key regions? Read on for a visual snapshot of themes across the globe.
Volatility returned in a big way earlier this week. Over the past few trading sessions, equity market volatility as measured by the VIX more than doubled, and global equities from Europe to the Asia Pacific region suffered steep declines. What happened?
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In sum, while there are certainly signs of excessive risk-taking in some areas, we feel that they are not systemic risks such as we saw in 2008. A healthy tailwind to corporate profit growth aided by the recent corporate tax rate cuts means that we will not likely see signs of economic weakness for a few years.
Investing in the information age can be a noisy endeavor–investors are barraged with new information minute by minute. At Loomis Sayles, our investors count on sector teams as one way to cut through the noise.
Global growth has chugged along at a modest pace throughout 2017, and I expect more of the same heading into 2018. Read on for a visual snapshot of our key themes across the globe.
With limited evidence of excess in the global financial system and mostly low interest rates around the world, we remain optimistic about global economic prospects. The expansion is poised to continue, led by growth in emerging economies.
Current estimates show a significant gap between the rate expectations of Wall Street economists and the Fed funds futures markets. The spread between their estimates for December 2019 is nearly 100 basis points, the equivalent of roughly four rate hikes. Over time, this gap in expectations is going to close one way or the other.