VPL News and Press, Vanguard FTSE Pacific From 04/23/21

The pace of recovery has begun to diverge across economies, with vaccination progress and the scale of government stimulus among the biggest swing factors. Macro disparities have also begun filtering into EPS growth expectations. Cyclically sensitive sectors have dominated the upg...

The ability of Chinese manufacturers to meet demand has been constrained by the current scarcity of shipping containers. Supply chains were complex and tenuous before the COVID-19 virus pandemic, and have since become more so. Supply chains are difficult to manage, but indicators ...

We see the restart, stabilizing U.S. Treasury yields and relatively cheap valuations boosting emerging market (EM) assets after a choppy start to 2021. U.S. stocks hit record highs and 10-year Treasury yields fell to the lowest level in more than a month. Major U.S. banks reported pos...

As the global economy recovers, inflationary pressures are building, and price increases are moving downstream. Our Materials Price Index (MPI) has surged 40% since mid-November 2020, reaching its highest level since early 2014. World real GDP is projected to advance 5.1% in 2021 ...

A year has now passed since the correction of March 2020, as markets first appreciated the implications of a global pandemic. With continued weakness in developed markets, we have seen a continuance of unprecedented fiscal and monetary stimulus. The concept of a world-leading emer...

Central bank manipulation of asset prices has swamped fundamentals. Asia-Pacific is one place to look for value, because the world is shifting from the concept of nation-state to the concept of civilization. Mutually assured destruction is the most stable game theory structure tha...

Global growth looks set to rebound even more strongly in 2021 than we had anticipated in our January Cyclical Outlook. Over the next several months, a combination of base effects, recent increases in energy prices, and price adjustments in sectors where activity ramps up is likely to ...

The recent government bond yield spike has pressured tech stocks, yet we are still constructive on technology both on tactical and strategic horizons. The Federal Reserve made clear its intent to stay behind the curve on inflation, keeping short-term rates low for longer than they wou...

Upgrades to consensus EPS forecasts have continued apace, further cementing expectations for a V-shaped global growth recovery this year and next. FTSE World estimates for this year have been raised significantly over the past three months (from 15% to 28%), bolstered by upgrades for ...

We still favor above-benchmark strategic allocations to China exposures, and see the recent weakness in Chinese markets offering an attractive entry point. The Federal Reserve made clear its commitment to be well "behind the curve" on inflation and wait to see it to materialize. I...