Show Notes
The Beyond Markets podcast channel is wrapping up on a high note at the end of 2025. But do not worry! The conversation continues on our podcast Moving Markets by Julius Baer, where we'll be sharing fresh insights and analysis on current market developments. Subscribe to Moving Markets on Spotify Subscribe to Moving Markets on Apple Podcasts
The US Federal Reserve resumed its rate cut cycle last week with a widely expected 25bp rate cut. Julius Baer expects four further rate cuts through March 2026, pausing at 3.25%, while the markets are pricing in slightly more aggressive easing. Against a backdrop of rapidly falling short-term rates and rising re-investment risk, 5-7 year bonds emerge as the sweet spot – offering a balance of yield and volatility amid a steepening curve.
In credit markets, the tight spreads between corporates and Treasuries aren’t just a sign of strong corporate demand, but also reflect weakening Treasury appeal. When benchmarked against swaps, the implied corporate credit spreads appear more normal, supporting continued inflows into investment-grade corporate bonds.
In equities, the rally in lower-quality and non-profitable tech stocks suggests that the market has been expecting and pricing in looser monetary policy conditions. However, a reversal may be due, and it may be time for quality stocks to outperform again. Notably, despite strong gains, valuations of the Magnificent 7 stocks remain below prior bubble peaks.
This episode is presented by Richard Tang, Head of Research Hong Kong at Julius Baer.
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In this final episode of the Beyond Markets Podcast, Hannah Wise sits down with Yves Bonzon, Group Chief Investment Officer at Julius Baer, to explore the secular outlook for the decade ahead. They discuss why interest rates have normalized at current levels, whether the AI investment cycle can avoid the fate of the dot-com bust, what China's balance sheet recession means for global investors, and the geopolitical risk that keeps Yves awake at night: waking up with stranded assets. The Beyond Markets podcast channel is wrapping up on a high note at the end of 2025. But do not worry! The conversation continues on our podcast Moving Markets by Julius Baer, where we'll be sharing fresh insights and analysis on current market developments. Subscribe to Moving Markets on Spotify Subscribe to Moving Markets on Apple Podcasts
The Beyond Markets podcast channel is wrapping up on a high note at the end of 2025. But do not worry! The conversation continues on our podcast Moving Markets by Julius Baer, where we'll be sharing fresh insights and analysis on current market developments. Subscribe to Moving Markets on Spotify Subscribe to Moving Markets on Apple Podcasts
The Beyond Markets podcast channel is wrapping up on a high note at the end of 2025. But do not worry! The conversation continues on our podcast Moving Markets by Julius Baer, where we'll be sharing fresh insights and analysis on current market developments. Subscribe to Moving Markets on Spotify Subscribe to Moving Markets on Apple Podcasts
The Beyond Markets podcast channel is wrapping up on a high note at the end of 2025. But do not worry! The conversation continues on our podcast Moving Markets by Julius Baer, where we'll be sharing fresh insights and analysis on current market developments. Subscribe to Moving Markets on Spotify Subscribe to Moving Markets on Apple Podcasts