Credit | Economics & Growth | Equities | Europe | Rates | US
In its latest deep dive into the markets, J.P. Morgan provides a detailed insight into the state of equities, fixed income, and both the US and global economy. In equities, they highlight how profit margins are coming under pressure as a result of higher wage, interest, and raw material costs. Coming out of the financial crisis, the main driver of EPS growth was margins. Over the course of the business cycle this has shifted much more towards revenue growth and buybacks. While emerging markets tend to trade at a discount to US equities, they are currently at one of their cheapest points in recent history – 0.5x Price to book…
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