MarketReader Co-Founder and CEO Jens Nordvig appeared on Bloomberg Surveillance to discuss several macro topics with hosts Tom Keene, Jonathan Ferro and Lisa Abramowicz.
During the segment, Jens addressed the Fed’s rate hike schedule, and how markets are digesting signals from the central bank.
He continued on the topic of the ECB, stating that the bank needs to continue its pace of raising rates. When asked if markets are pricing in a downturn in the Euro resulting from tighter ECB policy and negative global pressures, Jens responded that although there has been pessimism around the energy shock and the effects of tightening, the reality is that a number of tail risk factors that were previously concerns have now receded.
“It’s a mixed picture,” Jens said, stating that other growth drags are abating, and China’s reopening is also positive for global growth.
“The inflation picture is very clear, but the growth picture is not as negative as it was four to five months ago.”
Turning to emerging markets, Jens pointed out that the bull trade is starting to kick in motion. He compared China to other regions and noted that after more than a decade of bearish sentiment on emerging markets, investors are finally getting back in for the first time in multiple years.
Watch the full broadcast below, with Jens joining the hosts at the 7:20 mark.