Equity Multiples Will Go Beyond Previous Levels, UBS Says

The video discusses the current state of equity market valuations, noting that they have surpassed pre-COVID levels due to central banks' unprecedented stimulus and low interest rates. It highlights three main market risks: COVID-19 outbreaks, US political trade tensions, and fiscal stimulus. The discussion also covers the potential for a significant fiscal stimulus in the US. The video further explores the role of gold in portfolios, driven by negative real rates and potential inflation risks, and suggests a broader view on commodities, including energy and base metals.

What is one reason for the increase in equity market valuations post-COVID?

• Central banks' unprecedented stimulus

• Higher interest rates

• Decreased market participation

• Increased trade tensions

Which of the following is NOT considered a main risk to the market currently?

• US politics

• COVID-19 outbreaks

• Fiscal stimulus

• Rising oil prices

What is the expected range for the upcoming US fiscal stimulus?

• $500 billion to $1 trillion

• $2 trillion to $3 trillion

• $1 trillion to $2 trillion

• $3 trillion to $4 trillion

What is a key driver for the current gold prices?

• Increased oil production

• High real interest rates

• Negative real rates in the US

• Decreased demand for commodities

What is the broader expectation for commodity prices?

• A decline in energy prices

• A narrow focus on gold

• A widened pickup in broad commodity prices

• A decrease in base metal prices