Emerging Stock Valuations 'De-Rating' Expected, JPMorgan's Sullivan Says

The video discusses the manipulation of the bond market and the inversion of the yield curve, raising concerns about global growth and risk assets. It highlights the impact of a strong US dollar on emerging markets and the dovish outlook from the ECB. The economic challenges faced by the Philippines and the regional economy are explored, along with the potential effects of oil supply changes. The video concludes with an analysis of US trade policy and political risks, particularly focusing on Donald Trump's election prospects and their implications for the market.

What is a key indication that investors are worried about future global growth?

• Decrease in interest rates

• Positive yield curve

• Increase in equity prices

• Inversion of the short end of the US bond curve

How does a strong US dollar typically affect emerging markets?

• It has no impact on EM equities

• It leads to higher inflation in EM

• It boosts EM currencies

• It creates problems for EM currencies and equities

What was surprising about the ECB's outlook statement?

• It was surprisingly dovish

• It was unexpectedly hawkish

• It predicted a strong euro

• It aligned with previous ECB staff statements

What could potentially mitigate some of the inflationary concerns globally?

• Decrease in non-OPEC supply

• Strengthening of the US dollar

• Second half weakness in oil

• Increase in OPEC supply

What is the expectation regarding Donald Trump's administration according to public opinion polls?

• Trump will win a second term

• Trump will not win a second term

• Trump will increase taxes

• Trump will change trade policy