We Are Less Keen on Emerging Markets, Says Julius Baer CIO

The video discusses the current state of emerging markets, influenced by the Fed's monetary policy and US growth. It highlights global yield trends, particularly Japan's impact on the treasury market. The role of central banks, including the BOJ, is examined in the context of global economic momentum and trade tensions. The video also covers sector performance, noting a shift from growth to value sectors, and the dollar's influence on market dynamics. Finally, it addresses the challenges of currency forecasting and the technical movements affecting emerging and European markets.

What is the primary driver of emerging market assets in the short term according to the discussion?

• US Federal Reserve actions

• Japanese monetary policy

• European Central Bank policies

• Chinese economic growth

What recent development in Japan is affecting global yields?

• Expansion of quantitative easing

• Introduction of negative interest rates

• Relaxation of zero percent targeting on 10-year yields

• Increase in short-term interest rates

Which sectors have shown a bounce back in Europe due to alleviated trade concerns?

• Energy and consumer goods

• Financials and utilities

• Technology and healthcare

• Car makers and material stocks

What is the expected trend for the dollar towards the year-end according to some analysts?

• Strengthening significantly

• Fluctuating unpredictably

• Weakening

• Remaining stable

What is causing the rotation from growth sectors to value-oriented sectors?

• Rising inflation rates

• Decline in global trade

• Consolidation of the dollar

• Increase in oil prices