State Street's Mallik on Fed Policy, Markets

The video discusses the current economic outlook, focusing on inflation and consumer behavior shifts. It highlights the Federal Reserve's role in tightening financial conditions and the impact on risk assets. The speaker explains a strategic shift from global to US markets, emphasizing quality and commodities. The analysis of emerging markets reveals a preference for small cap stocks due to their pricing power and lesser exposure to global financial conditions. The video concludes with insights into how small companies benefit from supply chain dynamics and digitization.

In what ways have smaller companies been able to maintain their margins despite rising prices?

What are the implications of lesser exposure to China for small-cap firms compared to large-cap firms?