JPMorgan AM Favors Emerging-Markets Stocks: Schowitz

The transcript discusses the reopening of global travel and its impact on energy markets, highlighting the control of the virus in emerging markets, particularly in Asia. It covers the market rotation from growth to value stocks due to vaccine news and compares the performance of emerging and developed markets post-March sell-off. The discussion also includes the long-term depreciation of the US dollar and its implications, as well as short-term risks such as COVID, political issues, and bond yields.

What is one of the key factors driving the bullish case for emerging market equities?

• Stronger US dollar

• Better control of the virus situation in Asia

• Increased oil production

• Higher interest rates

What is the expected impact of the vaccine news on market rotation?

• Shift from value to growth stocks

• Shift from growth to value stocks

• Increase in bond yields

• Decrease in global trade

Why are emerging markets expected to outperform developed markets?

• Higher inflation rates

• Lower interest rates

• Stronger currency

• Better virus management and political developments

What is the long-term outlook for the US dollar according to the discussion?

• Volatility with frequent fluctuations

• Stability with no significant change

• Depreciation over a 10 to 15 year horizon

• Appreciation over the next decade

What is one of the short-term risks mentioned that could affect the global economy?

• Increase in global trade

• Strengthening of the US dollar

• Gridlock in Congress

• Decrease in oil prices

How might a weaker US dollar impact US exporters?

• Negatively by reducing competitiveness

• Positively by increasing competitiveness

• No impact on competitiveness

• Negatively by increasing costs

What could be a potential risk if bond yields move higher quickly?

• Strengthening of the US dollar

• Stability in equity markets

• Decrease in risk appetite

• Increase in stock market prices