Insights

Investors headed towards the end of 2019 in an optimistic mood as two policy risks that were plaguing sentiment throughout the year receded in December, while some nascent signs of a stabilizing global economy also buoyed risk appetite. Of note, the US and China managed to agree on the details of a “phase one” trade […]

The crisis in confidence stemming from COVID-19 has become increasingly self-fulfilling, which has brought into question our outlook for global growth as government efforts to contain the virus restricts economic activity and as individuals self-isolate in response to the fast-spreading pandemic.

In June, the unrelenting appetite for risk prevailed and global stock markets continued to grind higher amid optimism for a successful reopening of major economies that are awash with central bank and government support.

The end of the summer brought with it a shift in sentiment.

The reflationary trade gathered some notable momentum in February as investors braced for massive US fiscal spending, which emboldened calls for a sharp revival in growth as global vaccinations accelerated and coronavirus infections receded.