Corrections, gummy bears and grizzly bears in shares Key points The pullback in shares could still have further to go but a deep (grizzly) bear market is unlikely as US, global or Australian recession are unlikely. Increasing US Federal Reserve openness to a pause in raising rates, the likelihood of a US/China trade deal sometime in the next six months and the plunge in oil prices all add to confidence that a grizzly bear market …
The pullback in shares – 7 things investors need to keep in mind Key points The current pullback in shares has been triggered by a range of things – but most notably worries about rising US interest rates and the US/China conflict. Shares may still have more downside, but we are of the view that it’s just another correction. Key things for investors to bear in mind are that: corrections are normal; in …
Trade war risks are escalating – but a negotiated solution remains most likely Key Points US actions in recent weeks have increased the risk of a full-blown trade war – primarily between the US and China – with a more significant economic impact. So far the bulk of the tariffs are just proposed so there is still room for a negotiated solution (which remains our base case with a 55% probability). But there is now …
