Equity Valuations Looking More Attractive in 2019, Says Nomura's Hafeez

The video discusses the challenging year for global stocks, highlighting the worst December for U.S. stocks since 1931. It explores how valuations appear attractive for 2019 but emphasizes the need for cyclical drivers to trigger a stock rally. The discussion shifts to the impact of trade resolutions, particularly between the U.S. and China, on market dynamics. The video also examines China's economic challenges, including weak data and equity drops, and how these affect global markets. The importance of stabilization in China for global market health is underscored.

What is necessary besides attractive valuations to trigger a stock rally?

• A strong government policy

• Increased consumer spending

• Lower interest rates

• A cyclical driver

How might a resolution in trade issues affect the stock market?

• It could result in a permanent increase in stock prices.

• It would have no impact on the stock market.

• It might cause a short-term bounce in equities.

• It could lead to a long-term decline in equities.

What broader issue is highlighted in the trade tensions between the US and China?

• Automobile tariffs

• Textile industry disputes

• Technology sector conflicts

• Agricultural trade

Why has China suffered more from the trade war compared to the US?

• China has a stronger economy.

• China is undergoing a deleveraging program.

• The US has more trade partners.

• The US has higher tariffs.

What is the global implication of China's economic health?

• It can influence global market stability.

• It has no impact on global markets.

• It only affects Asian markets.

• It solely impacts the US economy.