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Bloomberg Surveillance

Ukraine and Geopolitical Risks in Markets

Nov 19, 2024
Lindsey Piegza, Chief Economist at Stifel, dives into the intertwined fates of inflation and the U.S. economy, highlighting risks posed by global conflicts. Earl Davis, Head of Fixed Income at BMO, examines the bond market's volatile response to news from Ukraine, shedding light on the implications for investors. The conversation navigates the complexities of interest rates and consumer spending, making it clear that geopolitical tensions are reshaping financial landscapes. This discussion provides valuable insights for understanding current market dynamics.
26:45

Podcast summary created with Snipd AI

Quick takeaways

  • The podcast emphasizes how the continuous trading availability of the futures market enables investors to quickly respond to geopolitical risks and market changes.
  • It highlights the resilience of the U.S. consumer despite economic challenges, indicating a stable economic foundation that supports growth amidst inflationary pressures.

Deep dives

Futures Market Advantages

The futures market operates nearly 24 hours, allowing traders to engage in transactions at any time of day or night, contrasting sharply with ETF markets where liquidity often diminishes after 4 p.m. This continuous trading environment provides significant opportunities, particularly for S&P 500 and NASDAQ 100 futures, which attract participants due to their robust liquidity. Such flexibility can be advantageous for investors seeking to respond swiftly to market changes, enhancing strategic trading actions. This almost constant availability of trading underscores the unique positioning of the futures market in the financial landscape.

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