Videos

Concluding a long-awaited policy review, last week the Bank of Japan signaled that after almost a decade of pursuing titanic quantitative easing targets, it will be looking to make fewer asset purchases from now on. In this short video interview, Udith weighs the implications for Japan’s economy, its bond market, the yen, and Japanese equities.

The Hong Kong stock market started 2021 as one of the world’s best performing, gaining 14% in the first six weeks of the year. In the weeks since, however, Hong Kong-listed equities have given back half those gains as sentiment has soured. In this short video interview, Vincent weighs the opposing forces at work in the local market to assess how they are likely to play out in the future.

US tech stocks have been hit hard, as attention focuses on the underlying quality of themes like the migration to electric vehicles. Yet this shakeup is also happening against the backdrop of a fast-changing investment environment due to a strengthening US growth outlook, rising inflationary pressure and an unnerved bond market which is driving yields higher. In this video interview, Will seeks to unpack these dynamics in order to navigate a course through difficult trading conditions.

Rising treasury yields are rarely a good thing for emerging markets, as this implies tighter financing conditions. The good news of sorts is that Asia's external position is strong due to buoyant exports, yet domestic demand has been constrained by the pandemic and a slow vaccine rollout.

Will Denyer examines the forces behind the eye-watering run-up and eye-popping volatility of bitcoin, and delves behind the near-term moves in crypto-currency markets to ask whether bitcoin and its ilk will ever gain traction as a unit of account, means of exchange or store of value.

Indian risk assets have ripped in response to last week's big-spending budget, and reports that a collapse in Covid-19 cases points to the country having achieved "herd immunity" ahead of max vaccinations. In this video, Udith considers both India's public health situation and the chances of fiscal stimulus kick-starting growth without spurring an adverse financial reaction.

After Joe Biden set out plans for a US$1.9trn mega-stimulus, US Senate Republicans have countered with proposals for a relatively meager US$600bn package. In this video interview, Yanmei examines the options and weighs the possible outcomes.

It’s been an especially stormy start to the year for the United Kingdom, which finds itself at ground zero for the spread of a new and highly infectious strain of the coronavirus, even as it struggles to cope with withdrawal from the European Union’s single market and customs zone. Yet the UK’s financial markets are performing relatively respectably year-to-date as investors focus on the UK’s strong vaccination performance and look ahead to the possibility of economic reopening and recovery. In this video interview, Nick examines the forces at work and weighs the risks facing the UK economy and markets.

US president Joe Biden’s planned US$1.9trn fiscal support package for the American economy may provide a metaphorical shot in the arm for at least some emerging markets, partially offsetting the negative economic effects caused by the delayed rollout of actual coronavirus inoculations. Udith assesses the conflicting forces affecting emerging economies.

A year after Covid-19 was first revealed in China, the country has emerged as one of the key economic winners of the global pandemic. In this video interview, Arthur assesses how it did this and looks at the new priorities for Chinese industrial development in a world that has become less open and more suspicious of Chinese intentions. He seeks to answer these questions with reference to US trade and technology policy toward China as a new administration prepares to take office in Washington DC.

Vaccines, fiscal stimulus and cheap money are working together to bolster the outlook for growth and inflation in the United States. The US is also under new leadership with new priorities. Our US team of analysts explained what this all means for the economy and asset markets.

Charles has sought to codify his many investment rules into a rigorous portfolio construction framework, which includes identifying periods when returns stop being normally distributed and move into the "tails". Right now markets could be going through a phase change, and in this webinar, he explained why. He was joined by Didier, who who heads the quant team in Paris, and Louis.

With Europe being hit hard by a second wave of Covid-19 and facing fresh lockdowns, Charles and Cedric assessed the outlook for the region’s growth and inflation in both the short and medium term. The webinar also focused on portfolio construction work being done by our Paris team: quantitative head of research Didier and Charles trained their sights on behavioral finance and suggested a route map for managing money in a “post-Keynesian” world.

China enters 2021 having achieved a world-leading recovery, but now faces a tricky balancing act to secure its economic trajectory. Ernan, Rosealea and Wei discuss how the authorities are responding to the rebound in Covid cases, what their strategy is for a frothy property market, and how they will balance growth with financial stability.

A Democratic US administration is set to control all arms of the US government for the first time since 2010. Will this mean a fiscal blowout, causing big changes in the pricing of treasuries and the US dollar? Louis, Anatole and Will assess the possibilities.

As the pandemic intensifies across Europe growth prospects in the first quarter are dimming, but investors are focused on a potential economic reopening by the spring. In yesterday’s webinar, Anatole Kaletsky, Nick Andrews and Cedric Gemehl discussed whether markets are overly optimistic since the European Union seems to have botched its vaccine procurement strategy.

Arthur Kroeber and Dan Wang sketched out the likely course of the US-China rivalry under the new Biden administration; He Wei and Thomas Gatley analyzed key developments in China's economy and markets, and Gavekal CEO Louis Gave presented his views on the forces shaping global markets.

The US equity market is seeing a switch from the winners of the pandemic like technology and online retail, to the beaten-up losers such as travel plays. At the same time, hopes for a strong economic recovery in 2021 are juicing up value stocks. Similar dynamics are being seen in other major markets. Our team of analysts discussed what happens next, and what’s in store in 2021.

Hong Kong has spent five months living under a tough national security law imposed on it from Beijing. The direct impact has been a sharp curtailment of opposition political activity that has sparked sanctions from the United States. Now, China has plans for more changes to Hong Kong's legal system, with a requirement for judges to be patriots. In yesterday’s webinar, Vincent Tsui, Dan Wang, Tom Holland and Simon Pritchard discussed the longer-run game being played by Beijing and assessed the impact on Hong Kong as an international financial center.

European markets were ebullient earlier this week on news that an effective Covid-19 vaccine may be approved for use early next year. In the meantime, regional lockdowns aimed at curbing the escalating pandemic threatens Europe's economic recovery. This all but guarantees loose monetary and fiscal policy for the foreseeable future. In yesterday's webinar Nick and Cedric discussed how this shakes out for investors.