Q4 Outlook: Further Caution is Advised

Even though the short-term recoveries on the stock markets may suggest it – the markets remain volatile, and, in our view, investors’ portfolios should be defensive until further notice.   In view of increasing inflationary pressure, the central banks (especially the ones in the USA and Canada) are expected to…

The Specter of Inflation is Back

The stock markets are nervous, and the number and intensity of fluctuations are increasing. The latest sales trigger was the 4.2% rise in US consumer prices in April, the highest in 39 years. After decades of absence, inflation seems to be coming back and with it the expert debates about…

Commodity Boom in Canada

Canada, with its vast resources of commodities and raw materials, is profiting more than any other industrialized country from a rally in commodities that has been going on for more than six months and which some experts see as the beginning of an imminent “commodity super cycle”. In addition to…

Stock markets: Sell in May and go away?

The global stock prices, and with them corporate valuations, have reached further record levels. Within the segments, the winners take turns again and again, sometimes it is large or small-cap technology stocks, then again cyclical industrial stocks or even retail and consumption. Good fundamental data from China, positive labor market…

A Rise in Interest Rates Signals Economic Optimism and Fuels Fear of Inflation

In the last article, we briefly discussed the important balance between stock and bond markets. In the meantime, capital market interest rates have become noticeably more expensive. One of the world’s most important seismographs, the yield on 10-year US treasuries, rose to about 1.6%. Ultimately, this is nothing more than…