• Global Investment Views
    • EN
    • EN

Global Investment Views - August 2020

Published July 29, 2020

> 10 minutes

> 10 minutes


A summer of fear and greed

As we enter the summer, conflicting forces in major equity markets have led to a period of temporary equilibrium between fear(risk of second wave, low bond yields, high gold prices) and greed (equities rallying as a result of economies reopening). The big question for investors now is: where do we go from here? In our view, the upside scenario that has been priced in by markets is challenged by the still uncertain path of the virus. Some early market enthusiasm about a virus cure could be overdone, as the path towards a widely available, effective vaccine could be long. Additional stimulus will be needed to offset the demand loss and reduce vulnerabilities in some sectors. The approval of a €750bn recovery fund in Europe, and for additional fiscal stimulus in the US and China, may sustain market sentiment in the short term. However, we do not see a case for an aggressive risk increase in portfolios, but rather for some tactical adjustments based on relative valuations. In equities, the Q2 earnings season will be a key test. Data will be ugly this quarter, but with this already factored in, attention will turn to forward guidance. Consensus estimates are very positive for next year, but corporates remain reluctant to provide guidance as the virus is not yet under control.

To find out more, download the full article

This website is solely for informational purposes.
This website does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation of any security or any other product or service. Any securities, products, or services referenced may not be registered for sale with the relevant authority in your jurisdiction and may not be regulated or supervised by any governmental or similar authority in your jurisdiction.
Furthermore, nothing in this website is intended to provide tax, legal, or investment advice and nothing in this website should be construed as a recommendation to buy, sell, or hold any investment or security or to engage in any investment strategy or transaction. There is no guarantee that any targeted performance or forecast will be achieved.

Get in touch with us

Our online help service is available to answer your question

My personal information

If you have a question about our company or one of our products, please complete the form to get in touch. Please do not mention your account numbers or critical data in this form.


(*) Required fields
All our job offers (Permanent and temporary position, Internship, Apprenticeship or VIE) are available on our dedicated website: https://jobs.amundi.com.

Register and apply directly online.

Amundi on Twitter