PICTET WEALTH MANAGEMENT

China or India? How to invest in the coming Asia Boom

While it’s not necessarily a binary choice, investors are increasingly comparing the two giant Asian markets as they decide where to place bets. Read on to see which sectors and stocks are likely to benefit from the demographic shift.

Dollar slips as Fed's rate-hike cycle seen ending

The dollar index was last 0.04% lower at 101.06, away from a two-week top of 101.65 hit earlier in the week, though its losses were muted as money markets had already priced in Wednesday's 25-basis-point increase.

How the right policy mix & economic transformation can create market winners in India

India is at a “tipping point,” he went on to say on a call with analysts after his visit. It was that same month when India also earned a new title as the world’s most populous nation, burnishing the appeal of sectors that cater to a burgeoning middle class and young consumers.

The Fed has paused. How long will Europe's central bank keep raising rates in a shaky economy?

The European Central Bank is expected to raise interest rates by a quarter-percentage point on Thursday as inflation continues to plague consumers, with analysts predicting a further hike in July. Although higher rates fight inflation, they can also weaken the economy and raise the risk of recession. However, the ECB is focused on targeting inflation, which is far above its goal of 2%. Even though overall inflation decreased from 7% in April, core inflation is still high at 5.3% and coming down only slowly. The Fed decision to pause its interest rate hikes doesn't preclude more increases, and two further hikes are possible this year.

Asian shares mixed as China growth worries crimp U.S. debt ceiling optimism

The MSCI Asia Pacific Index eased 0.20% on Friday, weighed down by China and Hong Kong stocks due to concerns over the stuttering recovery in the world's second-biggest economy. Japan's Nikkei clocked a near 33-year peak. China's stocks fell 0.61%, while Hong Kong's Hang Seng index dropped as much as 1.8%, dragged down by tech stocks after Alibaba Group Holding Ltd reported a lower-than-expected 2% rise

Stock traders hunt for winners in Asia as Fed’s policy turns

Asian stock pickers are navigating a difficult environment as a slowdown in the US could trigger a recession. Value is being sought in the tech service and consumer discretionary sectors due to regional demand, while South Korea and Taiwan are viewed as more vulnerable to a US downturn. Indian stocks have been bought by global funds this quarter as they cut their exposure to Taiwan. Financials, along with South Korean and Taiwanese equities, are seen as most susceptible to declining following two years of outperformance before a tightening cycle.

Futures sink as Credit Suisse woes weigh on banks

Contracts on the S&P 500 sank about 2%. The 10-year Treasury yield plummeted below 3.5% after data showed wholesale prices in the US unexpectedly decline in March, adding to evidence that inflation may be near peaking. The dollar rallied.

China economy recovering but hampered by virus outbreaks

The Zhengtai Restaurant in the northwestern city of Jinzhong closed for two weeks because almost all its 57 employees were infected, according to the manager, Chang Zhigang. Chang said the business has lost about 2 million yuan ($300,000) per year since the start of the pandemic. "We don't expect the situation to turn around within a short time, given there are very few people on the street," Chang said.

Dollar languishes as Fed rate hike fears recede; China reopening boosts optimism

China's rapid reopening also provided another boost towards riskier assets away from the safe haven greenback, with the risk-sensitive Aussie spiking to a more than four-month peak of $0.6950 in the previous session. It was last 0.04% lower at $0.6911.

European Central Bank may have to cool growth to control inflation, Lagarde says

At 1.5%, the ECB's deposit rate is not far from the so-called neutral rate, where the bank is neither stimulating nor holding back growth. Most estimates of the neutral rate are between 1.5% and 2%, suggesting that after an expected December hike "accommodation" will have been removed.

Stock pickers crave safety in market unnerved by Covid variants

Plenty of investors say they’re looking for refuge. Pictet Wealth Management is picking large companies over small. Janus Henderson Investors has been reducing allocations to the UK and Europe in favor of Japan.

Reflation rethink sends bond markets into a spin

Prices on US 10-year Treasuries have shot up, pushing yields down 8 basis points on Tuesday in their second biggest daily drop of 2021. The rally accelerated on Wednesday, with yields falling to just below 1.3%, their lowest in over four months.

If not now, when? COVID-19 spurs global push to tackle wealth gap

The massive injections of fiscal and monetary stimulus and ideas such as one-off taxes on the rich and basic income support for the poor potentially set the scene for the biggest egalitarian shift since generous welfare states emerged in western Europe after World War Two.

SBI, PFC eye Bond Street after Exim’s $1 billion issue

Bankers said Exim's huge issuance could prod others from the country also to tap the overseas debt market amidst easy liquidity and low interest rates.

The European Central Bank is launching proposals for a 'digital euro', here's why

The move comes as the pandemic accelerates a shift away from cash, and as policymakers nervously eye the rise of private cryptocurrencies like Bitcoin.

ECB's Lagarde takes benign view on growth, euro strength

While warning that a second wave of coronavirus infections represented "headwinds", Lagarde announced a slight upgrade in the bank's 2020 growth forecast on the back of a strong rebound in activity and signalled higher underlying inflation.

Unswayed by Nasdaq rout, global investors stick to buying the dip

Most money managers are either looking to buy the dip or sticking to their stock bets on expectations that stimulus measures and an economic recovery will support stock prices and offset concerns linked to the U.S. election and the development of a successful coronavirus vaccine.

Europe's top economies falter as new virus clouds outlook

Growth in both nations sputtered in 2019, with output actually shrinking for Germany in the April-June quarter and for France in October-December.

Reliance Nippon Life IPO subscribed 4.63 times on Day 1

The issue received bids for 19,84,66,029 shares against the total issue size of 4,28,40,000.

Global money managers select India as their 'top pick' in EM space; here's why

Global money managers see India in a much better position than other emerging market peers, supported by stable currency.

India top pick in EM space globally; China weighing on market sentiment: Bhaskar Laxminarayan

"Markets tend to move in tandem. Therefore when there is sentiment factor, there is flow factor, these obviously impact all markets."

Asian currencies face downward pressure: Pictet Wealth Mgmt

India is a structural story; overweight on India currently: Bhaskar Laxminarayan, Pictet Wealth Management

'India is a structural story despite what might be happening right now in terms of some earnings and sectoral disappointments.'