02 August 2021 | Paul Dixey
A Stock Market Review with Simon King, CIO
In Episode 10, Paul and Simon look back over the last few months, to understand why stock markets have performed so well recently.
• 04.38 - Simon points to the unfathomable amount of fiscal and monetary stimulus in the system and the effect this has on asset prices. He then answers my nasty $64mn question: What happens when the liquidity tap is turned off?
• 07:41 - We then discuss the topic on every investor’s mind at the moment. Inflation and what is causing it
• 08:56 - Is it a temporary or permanent phenomenon?
• 11:15 - Why it takes so long to buy a new car at the moment?
• 12:19 - What about the politicians – do they actually mind inflation?
• 13:50 - And how inflation can be good for home owners
• 14:33 - How inflation can affect the stock market and companies
• 15:00 - Can the likes of Unilever and LVMH raise prices quickly enough to offset rising costs?
• 16:30 - Despite us moving through Freedom Day, should we still be worried about the virus from an investment perspective? And getting pinged by the NHS app, half full restaurants, and are people back shopping?
• 18:00 - A question from our loyal listener on SPACs and should we be concerned by their presence in stock markets?
• 20:27 - Bitcoin and other cryptocurrencies, the investment risks, the effect cryptocurrency mining has on the environment and most importantly...
• 23:15 - Will they get regulated, what will happen once the stimulus fades away and what the banks are doing with block chain technology to remain competitive
• 25:28 - We then focus on the major developed markets starting with the largest economy in the world: the US and their relations with China
• 29:18 - The future for the FAANG stocks
• 30:47 - Why the UK stock market is still so cheap and views on the Japanese stock market
• 37:45 - And we finish with the CIO’s most challenging question: with his crystal ball, where do markets go from here?