Recent weeks have witnessed a substantial rise in bond yields and a noticeable retreat in equity markets, raising concerns about the future path of company earnings and economic growth.
How much longer will interest rates stay elevated as economies transition from abnormally low interest rates to a more neutral setting? Why do bond yields continue to rise? How have rising bond yields affected the performance of growth assets?
In this video, Emmanuel Calligeris, Chair of the DWA Investment Committee, and Grahame Evans, Director of DWA Managed Accounts, delve into the effects of rising bond yields. Covering topics from debt and deficits in the U.S. to equity market valuation and to inflation and interest rates, their perspective offers a balanced outlook on the economic landscape, emphasising the importance of cautious optimism in the short term.
