The Fed’s decision was not a surprise, as it came amid higher energy prices and rising long-term bond yields, prompting a recalibration of markets and global monetary policies.
The current direction does not resemble the 2022 tightening cycle; instead, it aims to restore balance, with economic growth continuing and greater focus on productivity and artificial intelligence as a potential factor of production.
Opportunities are emerging in certain Asian and Chinese markets due to differences in the cost of capital, while building structural portfolios remains important to navigate market divergences and fluctuations in risk premiums.
Watch the full interview above.
