• We see the West’s drive for energy security slowing growth, increasing inflation and stoking demand for non-Russian fossil fuels to alleviate consumer pain. • Data last week showed U.S. inflation at 40-year highs and a robust labor market. We expect the Fed to deliver on this year’s projected rate… Read More »
A new shock to supply We had already seen supply constraints driving high inflation over the past year, fundamentally changing how we should think about the macro environment and market implications. The pandemic resulted in a huge switch in consumer spending in the U.S., away from services and towards goods.… Read More »
BlackRock Investment Institute -
We now prefer U.S. and Japanese equities over European stocks due to the energy shock. We stay underweight bonds because of the inflationary backdrop. Market backdrop: Bond yields sprinted higher last week, with U.S. 10 year Treasuries hitting near three year highs. Signs of weakening economic activity emerged in Europe.… Read More »
In today’s turbulent world, punctuated by destabilizing events of increasing intensity and frequency, it is vital to know what a worst-case scenario is and which factors are critical. What were considered low-probability events in the past must be countered today on an almost daily basis. However, in the context of… Read More »
Italy, just like other European countries, has launched recently a National Recovery and Resilience Plan. The plan is funded by the EU in the framework of the NGEU – Next Generation EU – initiative, and Italy’s chunk corresponds to 191.5 billion Euros, to be spent in the period 2021 –… Read More »
The Goldman Sachs Group, Inc. (“Goldman Sachs”) today announced that it has entered into an agreement to acquire NN Investment Partners from NN Group N.V. for approximately €1.6 billion (1). The transaction is expected to close by the end of the first quarter of 2022, subject to regulatory and other approvals… Read More »
As the threat of the Spanish flu receded a hundred years ago, people celebrated by holding large public festivals. What followed for those who survived the spread of the disease was a period of both social and economic euphoria. According to historians, pandemics can be brought to an end either… Read More »
The Probability of Default (PoD) of a company is the central concept behind a conventional rating. Ratings constitute a fundamental link between markets and investors. Their importance cannot be overstated. However, traditional ratings, according to the Credit Rating Agencies themselves, are merely opinions. The process of computation of a Probability… Read More »
The global crowdlending industry has grown dramatically over the past decade, particularly in the business sector. This method of raising cash, commonly known as peer-to-peer lending, appeals to many small and medium-sized companies who get quick access to cash at favourable rates compared to a traditional bank loan. The UK… Read More »
“Today the EU Parliament ratified the EU-UK Withdrawal Agreement. It is an historic day”, says Gunnar Beck, Member of the EU Parliament and Brexit spokesman for the Identity & Democracy Group, “because this is the first time a country is leaving the EU. Undeterred by numerous prophets of doom, the… Read More »
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