The world's largest asset manager BlackRock has cut its stance on government bonds, preferring equities in light of the COVID-19 vaccine rollout and potentially up to US$2.8 trillion of additional U.S. fiscal spending this year.
In a weekly commentary note, strategists at BlackRock Investment Institute said the firm was increasing its 'underweight' on U.S. Treasuries. Yields on U.S. Treasuries, which move inverse to price, have hit their highest levels since February 2020 this week as investors have sold government bonds.The asset manager also said it was upgrading European stocks to a 'neutral', noting that it saw room for the market to close a valuation gap with the rest of the world.
Britain's FTSE 100 and FTSE 250 have underperformed global stock market indices since the start of 2016, the year the country voted to exit the European Union.
South Africa South Africa Latest News, South Africa South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »