Beyond Bulls & Bears

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

Central bank policy takes centre stage this week as over 20 central banks have interest-rate decisions this week. Focus is primarily on the Federal Reserve (Fed) meeting on Wednesday, and the Bank of England (BoE) and the European Central Bank (ECB) meetings Thursday.

On My Mind: Inflation: Don’t You (Forget About Me)
Fixed Income

On My Mind: Inflation: Don’t You (Forget About Me)

The US Federal Reserve finally acknowledged inflation is not a “transitory” problem and signalled a greater degree of concern; but investors seem to think that the Fed will blink when markets balk. With consumer inflation at multi-decade highs and COVID-19 risks still alive, what’s next for the monetary policy response—and market implications—as we move into 2022? Our Fixed Income CIO Sonal Desai shares her views.

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

Whilst there has been a lot of noise around the new Omicron variant, we are still waiting for full clarity on the severity of illness, vaccine efficacy and the likelihood of reinfection. Market volatility remains high.

Muni Impact of US Infrastructure Bill Could Prove Longer Term
Fixed Income

Muni Impact of US Infrastructure Bill Could Prove Longer Term

While the new US infrastructure investment bill didn’t have any initiatives directly targeting the municipal bond market, there are still implications for munis in the longer term, according to our Municipal Bond Director of Research Jennifer Johnston. She explains the ramifications for investors in the space.

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

News of the COVID-19 variant that emerged in South Africa (named Omicron) shook sentiment late last week prompting sharp declines. Looking ahead, it will be important to watch how this latest COVID news feeds into central bank thinking, with money markets already repriced the timeline for potential interest rate hikes further out.

UK Equities: Attractive Relative Valuations, Despite Relatively Unattractive Macro Signals
Equity

UK Equities: Attractive Relative Valuations, Despite Relatively Unattractive Macro Signals

While UK equities have faced a number of headwinds in 2021, there are reasons to be optimistic about the year ahead, according to Ben Russon and Will Bradwell of our Franklin UK Equity team. They discuss the economic recovery from COVID-19, inflation, the state of the consumer and why stock valuations look attractive.

Inflation Insulation: Navigating the Nuances of Inflationary and Rising-Rate Environments
Equity

Inflation Insulation: Navigating the Nuances of Inflationary and Rising-Rate Environments

Moderate inflation can be good, especially for some value stocks. Christian Correa breaks down why investors should not be afraid of the current inflationary or rising rate environments and explains how they can actually help some businesses and areas of the equity market.

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

We saw a clear shift in sentiment on lockdowns last week, as countries across Europe continue to hit new daily case records and death rates increase again.

Quick Thoughts: What Our Managers Think: Do Growth or Value Stocks Have the Upper Hand?
Equity

Quick Thoughts: What Our Managers Think: Do Growth or Value Stocks Have the Upper Hand?

While “growth” and “value” have typically been seen as distinct styles, that type of thinking continues to evolve, according to our investment professionals. For Stephen Dover, Head of Franklin Templeton Investment Institute, the real issue is how to invest where you are best rewarded.

PODCAST: High Time for High Yield?
Fixed Income

PODCAST: High Time for High Yield?

In our latest "Talking Markets" podcast, Bill Zox and John McClain, portfolio managers with Brandywine Global, join Amer Hasan to discuss how current market and economic conditions could benefit high yield investors, the opportunities and risks right now, and why the asset class is often overlooked or misunderstood.

Japan: A New Quiver of Arrows?
Multi-Asset

Japan: A New Quiver of Arrows?

With a new Prime Minister taking the helm in Japan, what does the future hold? Franklin Templeton Investment Solutions’ Gene Podkaminer and members of the research team take a look at both local and global trends influencing Japan—and why investors should pay more attention to the country.

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

Inflation remains front and centre. Strong US inflation data raised fears that the Federal Reserve is behind the curve and would need to take more hawkish action in the future.