There have been “massive” outflows from capital markets in the past week, but although they brought Bank of America Merrill Lynch’s “bull and bear” indicator close to the “buy” signal, they haven’t managed to trigger it.
Tag Archives: Japan
‘Schizophrenic’ capital flows? No, they’re perfectly rational
The year-to-date capital flows seem to show a dramatic change in the way investors perceive risk in the stock markets. Emerging market equities, Japan and the financial sector seem to have turned from risky assets into “safe havens”.
What stocks to buy as the Fed raises interest rates
The markets are trying to price in the first interest rate rise by the Federal Reserve in nine years, and as shown by recent volatility, it is not an easy task.
Inflation on the rise as recruitment ramps up
Inflation will almost certainly go up, despite fears expressed by some policymakers and analysts that the world’s major economies are headed for deflation, research by insurance and pensions provider Legal & General shows.
Japanese companies’ profits are severely understated
Japan’s stock market could see a sharp rise if the government cuts the depreciation allowances for companies in tax legislation, according to Andrew Smithers, economist and author of The Road to Recovery.
Japan’s next five years depend on its women
Abenomics seems to be working for Japan. Business investment was so strong in the first quarter that the government had to revise its growth figure upwards.
Biggest overweight position in banks since 2006
Investors are bullish on stocks, recording the biggest overweight position in banks since 2006, a survey of fund managers by Bank of America Merrill Lynch showed on Tuesday.
Investing in Stocks Better Than Investing in Bonds
Investing in stocks will still be a better option than investing in bonds, at least until the end of this year, according to strategists at Raiffeisen bank.
Future Oil Price Projection: Brent at $70 by 2020
The price of oil is already very high by historical standards, with Brent staying above $100 per barrel because of tensions in the Middle East and uncertainties created by the Arab Spring, Tom Pugh, commodities analyst at Capital Economics, said.
But growing supply and relatively slow demand is likely to push oil prices lower over the next five to 10 years, he wrote in a market note.
Global Stocks Approaching ‘Sell Territory’
A “sell” signal may be approaching for global stocks, according to strategists at Bank of America Merrill Lynch, who at the end of last week published a chart showing inflows into equities, as well as stock prices, climbing towards levels that would trigger selling.