Capital Ideas Investing Podcast

Can the U.S. economy survive higher interest rates?

Apr 17, 2024

Portfolio managers discuss the impact of U.S. interest rates hitting a 23-year high on stocks and bonds, exploring investment opportunities beyond tech giants. Global economic analysis highlights divergent growth and asset allocation strategies for 2024. Effects of higher yields on fixed income investments and equity market reactions to rate cuts are also analyzed.

21:06

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Quick takeaways

Investing opportunities are shifting towards diverse sectors beyond tech stocks due to market dynamics.

Emerging market debt and US industrial/healthcare sectors offer appealing investment prospects amid changing market landscapes.

Deep dives

Market Outloook and Investment Environment

The investment environment is characterized by the changing market dynamics, with a focus on interest rates, regulatory responses, and the economic outlook. There is a shift towards a broadening market, away from concentrated tech stocks, presenting new investment opportunities in diverse sectors. This shift is influenced by factors like earnings growth, resilience in different economies, and the impact of a sustained higher rate environment.

Introduction

3min

Analysis of Market Broadening and Investment Opportunities

2min

Global Economic Analysis and Asset Allocation Insights

11min

Analyzing the Impact of Higher Yields on Fixed Income Investments and Productivity Enhancements

2min

Analysis of Equity Market Reactions to Rate Cuts and Economic Stability

3min

Capital Group portfolio managers Will Robbins, John Queen and Michelle Black share their views on the stock and bond markets, including the impact of U.S. interest rates that are currently at a 23-year high. This podcast features excerpts from our February 29 webinar, “Asset allocation for 2024.” #CapGroupGlobal

Related material

Webinar: Asset allocation for 2024

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For full disclosures go to capitalgroup.com/global-disclosures

This content is published by Capital Group, home of American Funds Distributors, Inc. which will be renamed Capital Client Group, Inc. on or around July 1, 2024. American Funds aren’t registered for sales outside the U.S.

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