Jurrien Timmer, Director of Global Macro, provides his weekly market commentary and global macro insights. Jurrien’s research on bear market rallies has shown that the only time we saw a bear market rally facing the same strength and breadth as today was in 1929–1932, which he also found surprising, because bear markets don’t usually produce much breadth. Jurrien believes that companies that can deliver stable growth in dividends, not just payouts, will be rewarded by an older investor demographic that is seeking income but unable to find it in the bond market, except in corporate bonds. The U.S. dollar has come down: Jurrien believes this could be a great opportunity, because it makes the rest of the world more attractive. A weaker dollar favours emerging markets, a value tilt, commodities and gold.
Recorded on June 22, 2020.