AXA IM Select Updates

AXA IM Select’s Lorna Denny sat down with J.P. Morgan’s Vincent Juvyns to discuss the aim of diversification in relation to investments and how this can help to keep a portfolio resilient during market ups and downs. The third in our Investment Basics podcast series, it’s ideal for those starting out on their investing journey but should also prove useful for more experienced market participants....

So far, 2024 has proved a little more complicated than markets were expecting. Jay Powell, chair of the US Federal Reserve warned consistently that US rates could stay ‘higher for longer’, and indeed they have, but elsewhere rate cuts could be imminent. We look forward to the second half of the year, bound to be dominated once again by central banks and their decisions, but also by the US presiden...

This podcast is in German./ Dieser Podcast ist auf Deutsch. Erst sechs Zinssenkungen, dann zwei … oder vielleicht sogar überhaupt keine. Die für das Jahr 2024 erwartete Zahl der Zinssenkungen in den USA ist stark zurückgegangen. Was bedeutet das für die Anleger bis zum Sommer? Sollten sie sich angesichts der wachsenden Erwartung, dass die EZB die Zinsen vor der Fed senken wird, wieder auf Europa k...

From six to two cuts… or even none. US rate cut expectations during 2024 have collapsed. Markets may now need to accept bigger swings in market sentiment. Where does that leave investors heading into summer? Should investors revisit Europe, buoyed by growing expectations the ECB will cut before the Fed? We examine the case for this region, as well as other themes that have caught the attention of...

Markets started the year in confident mood, betting that the US Federal Reserve would take the lead on interest rate cuts, with as many as six cuts in 2024. Those hopes have since faded and forecasts of the first cut are looking more uncertain. We consider how interest rate expectations are changing in response to economic data, which of the major central banks might cut first, as well as the impa...

‘Fear of missing out’ has been a major catalyst driving markets higher in recent months. As we approach the end of the first quarter of 2024, we consider where that leaves the outlook for asset prices. Today we discuss the implications for markets as more sectors participate in the rally, even as some mega tech stocks struggle. We will also examine the contrasting performance of India and China an...

Continuing our popular podcast series on investment basics, this episode brings together our own Lorna Denny with Patrick Brenner, Head of Multi-Asset Investments at Schroders. Knowing about different types of risk can help investors to make more informed decisions about where they want to put their money, allowing them to assess whether potential risks align with their own risk tolerance and inve...

It has been said many times that the last mile of disinflation is the most difficult. With markets betting on the timing of the first cut in interest rates, every monthly inflation number is both eagerly anticipated and closely analysed for clues. Today we will discuss progress towards sustainably lower levels of inflation. And how bumps in the road towards disinflation could bring further diverge...

This year, markets will remain transfixed by familiar stories: the path of inflation; how fast interest rates will fall from multi decade highs; and the potential for a growth slowdown. The returns for the year will likely pivot on how the reported data fall out. Today we will look at bull and bear points for markets this year, as well as the likely impact of elections, as almost half the populati...

Markets are approaching year end in confident mood, anticipating interest rate cuts in the first half of next year. Despite western central banks’ repetition of the ‘higher for longer’ mantra, hopes are rising over the timing of the first cut and how quickly rates will then fall. Today we will discuss whether current market optimism might be overstretched. Are we indeed looking towards a soft econ...

Markets are hopeful that the threat of recession has faded, giving rise to a risk on rally. Indeed growth forecasts for the major economies are seeing consistent upward revisions. A plateau for interest rates at current levels seems a foregone conclusion, as inflation remains benign. We discuss our expectations for financial markets, along with some significant adjustments to our tactical asset al...

Interest rate uncertainty has gripped the markets, after US jobs and inflation data beat expectations. A sharp rise in US Treasury bond yields has lowered the attractions of more highly valued equities. Corporate growth forecasts in some major markets appear modest, whereas prospects for Japanese equities look relatively favourable. We take stock of the outlook for financial markets as risk appeti...

AXA IM Select's Lorna Denny sat down with Capital Group’s Claire Swinden to discuss how investors might approach their investment goals and the importance of investment planning. Concise and highly informative, it highlights some essential issues for consideration as well as providing investors with a helpful checklist. The first in our Investment Basics podcast series, it’s ideal for those starti...

Despite forecasts of recession, GDP growth in the US has so far proved resilient and US inflation has beaten forecasts. Conversely, in China the recovery has yet to fire up and consumer price growth is subdued. Central bank rhetoric is also diverging, as the US Federal Reserve talks of higher rates for longer, while the People’s Bank of China has offered repeated monetary stimulus. We consider the...

As we enter the dog days of summer, markets are struggling to find conviction, overshadowed by the possibility of recession. Meanwhile core inflation remains sticky and labour markets are still tight. Western central banks have left little doubt as to their intentions and further hikes look likely before interest rates plateau. We consider implications for financial markets and outline our latest...

Clouds of uncertainty still hang over financial markets, whether about inflation, recession or the peak in the interest rate cycle. Throw in the brinkmanship surrounding the US debt ceiling and it’s no wonder markets have been range bound in recent months. Will the second half bring the inflection point in interest rates, or will the fight against inflation grind on until we hit recession in the m...

Equity markets have spent the last month moving in a relatively narrow range. There seem to be multiple headwinds. Even before the regional banking crisis in the US, higher interest rates have curbed the demand for credit, while core inflation remains stubbornly high. And the US debt ceiling stand-off has added a political dimension to investor uncertainty. And yet, investors do expect a last minu...

After the turbulent days of early March, markets now seem to view the banking crisis as a small number of idiosyncratic events. And yet a broader credit squeeze remains a possibility, which could rein in economic growth. Central banks were forced to balance the fight to control inflation against the security of the financial system. Next steps for policy remain unclear, not only in the US and Euro...

February proved disappointing for markets, as stronger economic data crushed expectations of falling inflation and an early pivot in interest rates. Central bank rhetoric has become more hawkish and higher terminal interest rates are now forecast. Sometimes good news on growth is seen as bad news by markets. Today we discuss the prospects for more buoyant western economies, boosted by the reopenin...

Markets have rebounded in 2023, as deeper recession fears fast became a thing of the past. Hopes are growing for a softer economic landing, despite persistently hawkish central bank rhetoric. Today we weigh the chances of a soft landing for the major western economies, boosted by the reopening of China. We also review our Tactical Asset Allocation in response to such buoyant markets. Presented by...

Financial markets had a tough time in 2022, leaving investors with ‘nowhere to hide’. Central banks were blamed for their aggressive game of interest rate catch up, as inflation soared to levels not seen for decades. Today we explore how 2023 might bring a change in the market backdrop and perhaps better performances from major asset classes. We also take a look at our Tactical Asset Allocation re...

Financial markets have been battered by runaway inflation and fast rising interest rates. So much so that 2022 will go down as the year where there was ‘nowhere to hide’. But as the year ends, inflation could perhaps have hit its highwater mark. Today we’ll discuss whether interest rates too will reach a peak in 2023, meaning central banks can ‘pivot’ towards lower rates. Who will reach this infle...

This has been called the ‘make or break decade’ for action on climate change - perhaps the most urgent challenge of our time. COP27, the UN climate conference, has now drawn to a close. But the burning question remains. Will the commitments made by major economies prove to be sufficient? Bushra Ahmed, Responsible Investment Lead spoke to Lorna Denny, Investment Specialist. This podcast is intended...

As this extraordinary year draws to a close, records for extreme performance continue to be smashed by equity, bond and currency markets. It’s all down to the central banks and their response to runaway inflation. But should we now view such market moves as the new abnormal? We explore what have been described as ‘uncharted waters’ in financial markets and attempt to navigate through to our curren...

US markets responded negatively, as hopes of a ‘Fed pivot’ were dashed, while equity markets elsewhere remained firm. This week the focus will switch to the mid-term elections in the US. Niall McDonnell CFA, Senior Investment Manager and Alex Burn CFA, Senior Investment Analyst spoke to Lorna Denny, Investment Specialist. This podcast is intended for investment professionals, and must not be share...