Recharged bulls give stocks, commodities flying start to year

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What goes down must come up! Three months after one of the worst years on record, investors have seen world stocks and key commodity markets roar ...

LONDON: What goes down must come up! Three months after one of the worst years on record, investors have seen world stocks and key commodity markets roar back with their best first quarter since 2012.

Chief investment officer of asset manager Prime Partners, Francois Savary, thinks the turnaround has been remarkable. Despite almost daily Brexit chaos, UK Gilts returns have jumped 5.5 percent, while U.S. Treasuries have made 3.2 percent as their yields have fallen 27 basis points. That followed a 37 basis point fall the previous quarter, whereas in the five quarters prior to that they had consistently risen.

Argentina's peso and Turkey's lira, 2018's punchbags, have taken another beating and especially in recent weeks as worries about both countries' political and economic trajectories have started to bite again. "The selloff in December was too sharp," said chief investment officer of New York-based hedge fund ValueWorks, Charles Lemonides."If the Fed stays accommodative the economy will do well."

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