Entries for 'Equities'

U.S.-China tariff tantrum highlights risks for corporate earnings; Global IPO activity slowing as debt financing prevails—except in the U.S. where tech offerings steam ahead; At around 15% of GDP, the USD debt of non-bank borrowers is now as high in mature markets (ex-U.S.) as for emerging markets—and a risk in both cases; Innovative sustainability-linked loans gain traction; ESG bond/loan issuance set to surpass $300bn in 2019

Declining equity risk premia mirror the Fed’s dovish turn in 2019—but how much further can risk-on run?; Angels falling: more U.S. issuers are at the lower end of investment grade (BBB)—and taking on more debt; More vulnerable: small unrated U.S. non-financial corporates have racked up a hefty $1.13 trillion in debt; To call or not to call: $110 billion in CoCos are redeemable through 2020

Despite hopes for a continued “v-shaped” equity market recovery, investors are hedging their bets; Highly procyclical U.S. fiscal stance in sharp contrast to other mature economies; “Shadow banking” on the rise around the world—though not so much in the U.S.; Record pace of buybacks by S&P500 sparks more debate about their merits

Davos debates debt, urges action on financing for sustainable development goals; Analysts get more pessimistic about the outlook for corporate earnings; Global equity valuations are back to long-run averages—but are they cheap?; Long-term investors look to increase allocations to EM equities

Jittery equity analysts cut forecasts for next year’s corporate earnings; Tighter financial conditions may prompt more central bank caution; Safe-haven flows intensify in early 2019 amid concerns about the credit cycle; Heightened volatility — notably in equity markets – dampens risk appetite