Don't Panic: Putting Market Turbulence in Context

Sharp declines in China’s equity markets have heightened fears about the country’s economic prognosis and what it might mean for global growth. While concerns center on the emerging markets, the tumult has spilled across global financial markets.

Our advice: don’t panic. The challenge is to try to understand what the capital markets are signaling and assess how those signals fit with our core macro views.

In a new paper, we lay out some of the major investment themes we are focused on and discuss recent financial market price action in the context of our macro views. 

Read the full paper, Don't Panic: Putting Market Turbulence in Context, for insights on:

1. Global Savings and Weak Demand: Who is Going to Borrow and Spend?
2. Rotation of the Global Credit Cycle Favors Developed Markets Over Emerging Markets
3. Fed Rate Hike – Balancing Domestic vs. International Developments
4. Competitive Devaluations Are in Vogue
5. The Disjointed Credit Cycle
6. Rates Can Stay Low, But Can Risk Appetite Stay High?