We spent last week visiting our clients in China. In this report, we share some of the key questions from the client meetings as well as our responses.
Will the prospect of expanding trade tensions lead to more Chinese stimulus, and create an opportunity for Chinese equities? Not necessarily, as the election results were already factored in our EM and China strategists’…
The October ISM non-manufacturing PMI beat expectations, rising to 56 from 54.9 in September, up from a sub-50 low in June. Most components indicate an expansion, but the only significant increase came from employment. New orders…
China’s Caixin Manufacturing PMI rebounded one point in October to 50.3. This was in line with the NBS PMIs from earlier this week, which also showed a modest rebound. We are looking for a turning point in China as the…
Can Powell achieve a soft landing? There are some indications he is doing it. We examine why our negative stance was wrong and analyze the four growth engines that kept recession at bay. Half of these forces remain while the other…
Speculators have supported copper prices as demand growth slowed below the pace of supply growth. Our Commodity and Energy Strategy colleagues believe this does not bode well for the metal. The copper market faces a situation…
Silver has shone this year, especially after it breached a multi-decade downward slopping trendline. Silver is a precious metal, but its heavy usage in industrial processes makes us wonder whether it is sending a bullish message…
The global political system is destabilizing and the US will turn more hawkish in foreign policy, trade policy, or both, regardless of the election outcome. Tactically go long the dollar.