There’s no quick recovery in sight for stocks and bonds that are having their worst year in at least three decades, according to strategists at BlackRock.
BlackRock remains bearish on government bonds on both a strategic and tactical basis and is underweight long-dated government debt, including US Treasuries.“We are braving a new world of heightened macro volatility and higher risk premia for both bonds and equities,” strategists including Wei Li, Vivek Paul and Scott Thiel wrote in a mid-year report by BlackRock Investment Institute, the asset manager’s research arm.
The world’s largest asset manager retains its long-term bullish view on equities, but has gone underweight developed-market stocks in the near term as the risk of stalling growth rises. Investors should bet on credit instead, because valuations have improved and default risk is contained, the strategists said.Despite the surge in yields, BlackRock remains bearish on government bonds on both a strategic and tactical basis and is underweight long-dated government debt, including US Treasuries.
“The pullback in euro area breakeven rates since May suggested markets are underappreciating the inflationary pressures from the energy shock,” the strategists wrote in their predictions for the next six to 12 months. “UK gilts are our preferred nominal bonds. We believe market pricing of the Bank of England’s rate hike is unrealistically hawkish in light of deteriorating growth.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
AFL says umpire in the right on non-free to Ginnivan, warns other playersJack Ginnivan’s high contact non-free kick was the right call according to the AFL, which warned other players about forcing tackles to go high. agerealfooty afl agerealfooty 2 thoughts on this 1. The rule is in place to protect the safety of the player....Any head high contact from the start is a high tackle. 2. Umpires need to be conscious of their prejudices again any player....they are responsible for applying the rules objectively. agerealfooty Interesting that this rule becomes an issue after a player wearing black and white stripes adopted it, after watching a bloke in blue and white hoops do it for 10 years. How so AFL? selwood ginnivan GoPies agerealfooty Maybe the dud in black and white should stop staging for free kicks
Source: theage - 🏆 8. / 77 Read more »
How laughing Elon Musk got serious about ending Twitter dealBillionaire finds platform he no longer wants to buy useful after termination of $44bn takeover
Source: GuardianAus - 🏆 1. / 98 Read more »
'People are ready to listen': Aboriginal cultural tourism boom signals new era of reconciliationAboriginal cultural tourism is booming, and guides say it is a sign that we are finally ready for true reconciliation. You mean ' re-con-the- cilli- nation' 🙄 Listen to what exactly People are ready to listen… Just not Peta Credlin.
Source: abcnews - 🏆 5. / 83 Read more »
Despite a market crash, these Australians buy their lunch with bitcoinAs cryptocurrencies weather one of their worst bear markets in recent history, Sydney technology worker Ben Kennedy still uses crypto to pay for his lunch. Instead of buying a whole sandwich, theyll be buying half a sandwich.
Source: brisbanetimes - 🏆 13. / 67 Read more »
We Are Russia review – portrait of the brave young activists aiming to oust PutinAlexandra Dalsbaek’s immersive documentary focuses on two engaging twentysomething protesters making a stand against authoritarianism
Source: GuardianAus - 🏆 1. / 98 Read more »
Vaccines and antivirals not enough to combat Australian Omicron surge, experts warnDoctors accuse government of ‘mixed messages’ as hospitalisations rise, saying they should be open to more preventive measures The RAT tests seem to be less reliable with the BA 4/5 variant currently circulating. Getting a PCR Test is more difficult with fever clinics closed. Many people have reported multiple negative RATs for days before finally getting a positive PCR. delay in diagnosis is a problem
Source: GuardianAus - 🏆 1. / 98 Read more »