Market views on the economic outlook have been volatile this year: they have swung from concerns over recession to hopes for a soft landing and now centre on a Goldilocks scenario. We disagree. In our view, the effects of sharply higher central bank rates, depleted household savings, lower corporate investment and notably tougher financial conditions have yet to make themselves felt.
Watch our quarterly video with Daniel Morris, Chief Market Strategist, and Maya Bhandari, Global Head of Multi-asset. They discuss the opportunity of locking in attractive bond returns for the next five years as well as their view that downside risks to company earnings in Europe are greater than in the US.
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