Shortly after US Corporate High Yield credit spreads reached their tightest levels, investors are now worried that the credit cycle is turning, evident in last year’s abrupt about- face in spreads. Investors are aware that the economy remains the most important driver of defaults but appear to underestimate forecasts of US GDP growth remaining above Read More…
Tag: Keith Knutsson
Japanese Equities: Foreign Withdrawal
Investors might already know the major impact foreign investors have on Japan’s equity market. Japanese equity returns tend to have a relatively strong correlation with the net inflows or outflows of foreign investors. This was witnessed in 2018 when Japanese equities decline of 16% occurred along with the largest foreign outflows since the global financial Read More…
The Investment and Innovation Status in the United States
The US benefits from long-term structural advantages through its investment-friendly economy. A level of innovation and productivity, favorable demographics and its strong institutions are all factors that support better-quality economic and earnings growth. The US ranks in the top 10% of all countries across economic freedom, ease of doing business, global competitiveness and world governance Read More…
Energy Mix Transitions: Looking Towards 2050
The worldwide evolution of energy systems represents a hallmark of modern times. This trend is expected to not just continue, but accelerate; car fuel, heating systems, and industry power sources in the coming decades are projecting drastic changes attributed to regulation and innovation. Taking a look at the demand perspective, Global demand for energy is projected to peak around the Read More…
Startup Exuberance or Valuable Market? Analyzing Micro-Mobility
Over the past few years investment capital in micro-mobility startups has been exponential. As of early 2019, over $5.7 billion dollars was invested in this market in less than four years. A majority of the investments are aimed at Chinese markets. There, the market has grown roughly three times as quickly as the ride hailing Read More…
Evolution of the Global Supply Chain
Amidst political winds, true changes in the nature of globalization can easily get overlooked. Globalization drastically transitioned in the mid-2000s, where physical goods became less trade-intensive. Though it is true that output and trade continue in growth (in absolute terms), a smaller percentage of goods off the world’s assembly lines is now traded across borders. Read More…
Market Outlook – Entering 2019
As investors enter 2019, the two largest economies in the world, the U.S. and China, both face challenges. First, will U.S. financial markets have a soft, bumpy or hard landing following the peak earnings and growth cycle seen in 2018? Second, will stimulus policies in China stabilize growth conditions in the year ahead? Resolutions for Read More…
Bond Market Shifts
Now is a good time for investors to re-balance their fixed-income portfolios and add more government bonds. As the stock market reaches new highs, analysts remain concerned that investors are too complacent about risks, such as escalating trade tensions with China, a slowing in earnings growth and the expectation that the Federal Reserve will keep Read More…
eSports Boom in China
The market for eSports and online games is rapidly growing in China, spurred by demand from consumers in the country’s smaller cities. Later this year, the world’s first purpose-built eSports gaming stadium is set to open in China’s Chongqing municipality with space for up to 20,000 excited fans. The municipality’s plan is to make the Read More…
Green Hydrogen Could Revolutionize Energy Production
Green hydrogen could revolutionize energy production, helping utilities run more flexible power grids while reducing fossil fuel emissions. Could hydrogen power be the key to a more carbon-free world? Although a high percentage of the hydrogen power currently produced comes from fossil fuels, further declines in the cost of emissions-free “green” hydrogen production could accelerate Read More…