Making Sense of Global Equity Markets

The video discusses the volatile start to the year, highlighting thin market volumes and potential earnings downgrades in the US and Asia. It compares the performance of Asia and US markets, noting Asia's relative outperformance despite negative returns. The discussion shifts to market concerns about global growth slowdown and the Federal Reserve's interest rate hikes. The video concludes with an analysis of market valuations, suggesting that while risky assets are more attractive, it may still be too early to re-enter the market, with Asia potentially outperforming the US.

What is the main reason for the expected earnings downgrades in the US and Asia?

• Strong US dollar

• Increased market volatility

• Low trading volumes

• High earnings growth expectations

How did Asia perform compared to the US and Japan during the last quarter of the previous year?

• Asia had a negative return but outperformed both

• Asia had a negative return and underperformed both

• Asia had a positive return but underperformed both

• Asia had a positive return and outperformed both

What is the current major concern for the equity market?

• Rising inflation rates

• Trade tensions

• Increasing oil prices

• Global growth slowdown

What has changed in the market's expectation regarding the Federal Reserve's actions?

• Expecting no change in rates

• Expecting fewer rate hikes

• Expecting rate cuts

• Expecting more rate hikes

Why is the market not happy despite the vanishing concern of Fed hikes?

• Because the economy is not doing well

• Because inflation is rising

• Because of trade tensions

• Because of high oil prices