20 Aug Plunging bond yields & weak share markets
Key Points:
- Worries above the US trade wars and global growth are continuing to cause volatility in investment markets.
- While the risks have increased, we remain of the view that recession is unlikely.
- Share markets may still fall further on trade war fears and this may even be necessary to remind both sides of the need for a deal.
- However, we regard the fall in share markets as another correction and not the start of a major bear market.
