KLDW News and Press, Knowledge Leaders Developed World From 05/05/22

The map of the Asset Allocation Committee’s market views is a buzz of activity this quarter. Coming into 2022, we anticipated slower growth compared with the steep recovery levels of 2021 and inflation that was declining but persistent—and problematic due to its origins ...

Earnings momentum loses steam as a growth scare permeates the corporate landscape. Rising policy rates and expanding credit spreads make for an uneasy financial environment. The market evolves toward an ex-growth period. For further details see: Chart Of The Week - Globa...

The expected risk premium continued sliding in April for the Global Markets Index (GMI). Tuesday’s revision reflects a drop to a 5.4% annualized increase for the long term – a relatively large cut of 40 basis points from last month’s estimate. The forecast ref...

The major markets’ technical review will help readers understand the underlying technical conditions for potential opportunities and risk management. This helps refine not only decision making about what to own and when but what to overweight or underweight to achieve better pe...

We don’t see a wage-price spiral. Companies are actually paying less in labor per unit of output, we find. We think wages can rise more without adding to inflation. The S&P 500 plunged to new 2022 lows last week. We remain overweight equities in the inflationary backdrop bu...

Global central banks continue to warn that COVID, and other issues, persist. Traders seek some clarity and understanding of what’s going to happen next. In our opinion, the extended demands relating to the superheated reflation of the post-COVID economy set off an explosive inf...

Investors face a trifecta of worries: rate hikes, inflation and volatility. In Q1 2022, equity markets took stock of a changing economic and geopolitical landscape. Looking forward, economic and geopolitical uncertainty will likely increase. For further details see: Look...

Preliminary PMI survey data showed economic growth slowing in the US and UK as strong pandemic rebounds showed signs of fading. In contrast, a reopening of economies in the eurozone and Japan helped drive improvements, helping to offset weakened manufacturing performances arising from...

We like emerging market (EM) local debt within an overall bond underweight. Much monetary tightening has been done, and valuations are compelling. U.S. Treasury yields hit new three-year highs last week, and equities fell. We still think stocks can weather the yield rise in the inflat...

The invasion of Ukraine is an inflationary shock to an already inflationary system. The International Energy Agency has warned that the impact on oil supply will peak only from May onwards. Since the war broke out, core government bonds have suffered sustained price declines unsee...