Report
Patrick Artus

Anomaly: This time around, risky asset prices are high before interest rates fall

Usually, prices of risky assets (equities, real estate, corporate bonds) rise when interest rates have been brought to a low level by central banks (we look at the cases of the United States and the euro zone). But this time around , risky asset prices are high while interest rates have not yet begun to fall. This may be due to: Abundant liquidity; The fact that monetary policy is not really restrictive; High corporate profit margins.
Provider
Natixis
Natixis

Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.

 

Analysts
Patrick Artus

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