Weekly Market Outlook October 30, 2016
Weekly Market Outlook:
Pfäffikon SZ, Switzerland – Since June, the market is in a historically narrow trading range of around 3%. Last week, the bond market woke up. Global bond yields rapidly increase where investors have to get used to the idea that the large monetary policy of central bankers has been worked out. Underneath there is more going on than the relative calm in the markets suggests. Political courage is required to avoid a global recession, and this is lacking currently.
The next week, the focus of investors will be on the business figures. One point of attention is the meeting of the Bank of Japan. Japan is still struggling with deflation and fighting a demographic windmill. The Japanese economy, meanwhile, tends towards a recession, which is worrying.
This material is communicated on October 30, 2016 by Thirteen Asset Management AG, Rietbrunnen 20, 8808 Pfäffikon SZ, Switzerland. This material is for information purposes only and is not intended to be a solicitation or invitation to invest. Any organizations or products described in this material are mentioned for reference purposes only. This material is intended only for investment professionals and professional clients and must not be relied upon by any other person. It is proprietary information of Thirteen Asset Management AG and may not be reproduced or otherwise disseminated in whole or in part without prior consent from Thirteen Asset Management AG. Alternative investments can involve significant risks and the value of an investment may go down as well as up. There is no guarantee of trading performance and past or projected performance is not a reliable indicator of future performance. We recommend to consult your bank, investment and/of tax adviser.
