Saxo Bank, which specializes in online multi-asset trading and investing, today released its quarterly forecast on the performance of global markets during the second quarter of 2023, including trading ideas covering equities.
Peter Garnery, Head of Equity Strategy at Saxo Bank, said: “This year has been a challenging time for investors. The stock market had a strong performance in the first two months of the year, supported by still inadequate financial conditions to curb inflation and mild weather in Europe that helped avert a potential energy crisis.”
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“This pushed the MSCI Global Markets Index valuation model beyond the historical average, reducing the expected real return in the future. Expected yields continue to decline as asset classes adjust to lower valuations amid acceptance of the highest levels of structural inflation.
The game of division represents a geopolitical strategic dynamic to ensure greater access to energy, technology and defense among rival major nations. The division of the global economy is expected to contribute to raising the structural level of inflation and the high cost of capital.
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