SIMON BROWN: I’m chatting now with Schalk Louw from PSG Old Oak. Schalk, I appreciate the early morning during your summer holidays. I’ve got to say I thought I was a market nerd, but I think you top me on this. You were going through the forecasts released by all the large investment houses, and you collated them together. [There are] a couple of big themes.
Looking at some of these commodity prices, oil prices, food prices, I don’t foresee that becoming less of a problem. Looking at some of these things, Morgan Stanley actually came out at the end of last year, when they brought out their 2022 outlook, saying that oil could top $90/barrel in 2022, a rising demand. They mentioned the supply chain. Hey, we are here at $90 already, so here we go. It’s not even the end of January. So that is a clear worry, and a clear worry again for inflation.
SCHALK LOUW: We’ve had this theme. I think halfway through last year I [was] really harping on this whole value thing, and look where we are now. We’ve seen it. Look at the first part of this year – I wouldn’t say it’s a total reversion, but clearly some reversion. In a BNP Paribas view – I love their view – they said that the wide valuation gap between value and growth stocks and the prospect of high interest rates suggests upside is ahead.
United States United States Latest News, United States United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: Fin24 - 🏆 21. / 63 Read more »