Global Equity Slump Deepens

The video discusses the spread of bonds across international markets, with Asian equities and futures in decline. Lucy McDonald, CIO of Global Equities, provides insights into whether this is a healthy market correction. She explains that the recent market trends are logical and expected, driven by inflation and rising bond yields, which are affecting equities. The discussion emphasizes that such corrections are normal and should not be a cause for concern.

What is the current trend in Asian equities and European futures?

• Both are showing positive growth.

• Asian equities are stable, but European futures are declining.

• Asian equities are declining, and European futures are also pointing downwards.

• Both are unaffected by current market trends.

How does Lucy McDonald view the current market correction?

• As an overdue healthy correction.

• As an indication of a new bull market.

• As a reason for immediate concern.

• As a sign of market instability.

What was unusual about the previous bull market?

• It was shorter than expected.

• It had frequent corrections.

• It lacked any corrections.

• It was driven by inflation.

What factor is contributing to the current market correction?

• Decreasing interest rates.

• Stable inflation rates.

• Rising inflation, particularly in wages.

• Decreasing bond yields.

How does the rise in bond yields affect equities?

• It has no effect on equities.

• It causes equities to rise.

• It flows into equities, affecting them.

• It stabilizes the equity market.