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India: Manulife says base case is policy continuity
  + stars: | 2024-05-13 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailIndia: Manulife says base case is policy continuityRana Gupta of Manulife Asset Management discusses India's economic outlook in light of the elections.
Persons: Manulife, Rana Gupta Organizations: India, Manulife, Management
April saw the highest number of corporate bankruptcies in a year, S&P Global said. Eroding bets of an interest rate cut contribute to this, as burdened business throw in the towel. AdvertisementCorporate bankruptcies increased in recent months amid teetering confidence in a quick interest rate pivot. AdvertisementBy one measure, rising costs did slow when a rate cut looked likely in early 2024. But last month's stubborn inflation and slowing GDP made a Fed cut look unlikely, and yields shot up to 8.11%.
Persons: , April's, Frances Donald Organizations: P Global, Service, Federal, ICE, Fed, Investment
Economist Frances Donald told Bloomberg TV that a sharper Fed pivot is ahead. Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. AdvertisementMarkets are right to price in a Federal Reserve policy pivot but should brace for a rate-cutting cycle that's sharper than expected, economist Frances Donald told Bloomberg TV. "We believe we are heading into a proper downturn that will require a proper easing cycle." So we're not exiting the period in which rate hikes become really impactful in the economy," she said.
Persons: Frances Donald, , Donald, We're, Danielle DiMartino Booth Organizations: Bloomberg, Service, Manulife Investment Management
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailEconomy will slow to a growth rate of 0-1% over the course of Q2-Q3, says Dana PetersonDana Peterson, The Conference Board chief economist, and Nathan Thooft, Manulife Investment Management CIO and senior portfolio manager, join 'Squawk Box' to discuss the state of the economy, the Fed's interest rate decision, inflation outlook, and more.
Persons: Dana Peterson Dana Peterson, Nathan Thooft Organizations: The Conference Board, Manulife Investment
Daniel Acheampong and Yasmin Cruz Ferrine, Visible HandsVisible Hands cofounders and general partners Daniel Acheampong and Yasmin Curz Ferrine. Visible HandsNotable investments: Parfait, Athlytic, Dollaride, Hearth Display, Noula, WriteSea, Plot, TANGappWhat kinds of companies he invests in: Pre-seed and seed-stage companies across industries. Why he's on the list: Acheampong and Ferrine cofounded Visible Hands in May 2020 along with Justin Kang to address the ongoing systemic barriers to funding, social capital, and resources plaguing underrepresented founders. At Visible Hands, Acheampong oversees investment processes as a general partner and Ferrine's responsibilities include compliance, capital raising, and investment functions of the firm. Acheampong utilizes his years of experience as an associate at the private equity firm Summit Partners and an analyst at Goldman Sachs.
Persons: Daniel Acheampong, Yasmin Cruz Ferrine, Yasmin Curz Ferrine, Ferrine, Justin Kang, Acheampong, Goldman Sachs, He's, John Hancock, Deval Patrick's, She's Organizations: Summit Partners, Massachusetts Institute, Technology's, Tsai Center, Yale University, Brown Advisory, Investment, Kauffman Locations: Boston
Here are Thursday's biggest calls on Wall Street: Macquarie downgrades Sony to neutral from buy Macquarie said it sees a more balanced risk/reward for the entertainment company. "With Sony near our target price and market expectations at risk given lacklustre FY3/25 guidance, we are downgrading to Neutral." Deutsche Bank reiterates Rocket Lab as a top pick Deutsche said it's standing by its bullish status on the space company. " Bank of America initiates Super Micro as buy Bank of America said the server and storage solutions company is an AI beneficiary. Bank of America reiterates Uber as buy Bank of America said it's feeling more bullish after the company's investor day.
Persons: Macquarie, Davidson, DA, Piper Sandler, Piper, KeyBanc, Evercore, Skechers, Price, Bernstein, underperform Bernstein, Redburn, Eastman, Morgan Stanley, Wells, Morgan Stanley downgrades, Guggenheim, Generac, Uber, Tesla, KBW, Berkshire Hathaway Organizations: Macquarie, Sony, JPMorgan, Deutsche Bank, Deutsche, Nvidia, Citi, FedEx, Apple, HSBC, GE Healthcare, GE, Crypto, UBS, Downside, Eastman Chemical, Comcast, Cisco, Cliffs, Steel, " Bank of America, Air Products, of America, Linde, Bank of America, Micro, Inc, Guggenheim, Mizuho, Energy, BMO, CNBC, & $ Locations: Nashville, China, Morgan Stanley downgrades Cleveland
Valentine Andrews, 52, will report to Lorentz and lead the firm's "next era of private markets growth," he wrote. She will remain in New York City, where Manulife's private equity and private credit teams are based. Valentine Andrews joined BlackRock in 2014 from Morgan Stanley, where she spent seven years and helped establish the firm's infrastructure-investing platform. She previously worked at Macquarie Bank, the firm known for its infrastructure investments, in Melbourne and New York. "I like to think about living life in chapters," Valentine Andrews wrote in a post on LinkedIn last month.
Persons: CQS, Anne Valentine Andrews, Paul Lorentz, Valentine Andrews, Lorentz, Angelo Gordon, Nuveen, BlackRock, Edwin Conway, Salim Ramji, Vipon, Brian Kernohan, Marc Feliciano, Morgan Stanley Organizations: Manulife Investment Management, Business, BlackRock, Manulife, Investment, Global Infrastructure Partners, TPG, Macquarie Bank, LinkedIn Locations: Toronto, Massachusetts, Manulife, New York City, Melbourne, New York
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailEconomic slowdown expected in 2024: Manulife Investment Management's Nate ThooftNathan Thooft, Manulife Investment Management senior portfolio manager and global CIO, joins 'The Exchange' to discuss the odds of a 2024 recession, outlook for U.S. equities, and more.
Persons: Nate Thooft Nathan Thooft Organizations: Manulife Investment Management
Doubts that debt issuance conditions will be as strong in 2024 as they are now, with markets still divided on the direction of interest rates and the economy, have also driven the interest in doing deals now. Credit spreads are underpricing recession risk, said Nate Thooft, senior portfolio manager for Manulife Investment Management. Even if companies waited for rate cuts in 2024, declines in all-in funding costs may not necessarily follow, as credit spreads could then widen, said Amol Dhargalkar, managing partner at Chatham Financial. But Natalie Trevithick, head of investment grade credit strategy at Payden & Rygel, said economic data was too strong for cuts. Some $770 billion of investment-grade rated bonds mature in 2024 and over $900 billion in both 2025 and 2026, according to data by Morgan Stanley (MS.N).
Persons: Joshua Roberts, Maureen O'Connor, Edward Marrinan, Nate Thooft, Amol Dhargalkar, Natalie Trevithick, Morgan Stanley, Steven Oh, Matt Tracy, Shankar Ramakrishnan, Davide Barbuscia, Barbara Lewis Organizations: Federal Reserve, REUTERS, ICE, BMO Capital Markets, Investment, Informa Global, Treasury, Federal, Nikko Securities America, Manulife Investment Management, Chatham Financial, Deutsche Bank, PineBridge Investments, Thomson Locations: Washington , U.S, Wells, U.S
For much of this year central banks have successfully pushed back against rate cut bets. "I believe the Fed will act rationally and begin to cut rates by the end of next year, but we can't rule out the scenario that the Fed is not going to cut rates and just let the ramifications of recession do what they do." Reuters GraphicsSHIFT NEARINGMarkets now fully price in a 25 basis point U.S. rate cut in May, having seen a 65% chance earlier this week. "There are now committee members in all three (banks) willing to talk about rate cuts next year," said Chris Jeffery, head of rates and inflation strategy at LGIM. "The ECB should begin to ease policy as soon as April 2024, with risks that a more sinister downturn in growth could warrant a rate cut as soon as March," he said.
Persons: Jonathan Ernst, ramping, It's, Nate Thooft, Goldman, Christopher Waller, Huw Pill, Yannis Stournaras, Chris Jeffery, we'd, Dario Perkins, Simon Harvey, Yoruk, Naomi Rovnick, Harry Roberston, Davide Barbuscia, Ira Iosebasvili, Saqib Iqbal Ahmed, Dhara Ranasinghe, Catherine Evans Organizations: . Federal, REUTERS, ECB, U.S . Federal Reserve, European Central Bank, Manulife Investment Management, Treasury, Graphics, Bank of England, Deutsche, Lombard, Traders, Yoruk Bahceli, Thomson Locations: Washington, United States, Europe, Goldman Sachs, Greek, Amsterdam, London
The trend worries some U.S. lawmakers who fear corporate interest will make agricultural land unaffordable for the next generation of farmers. Investment firm acquisitions are also outpacing farmland purchases by foreign entities, according to data from the U.S. Department of Agriculture (USDA). Lawmakers debated this year whether to curtail foreign farmland ownership, concerned that adversaries might buy land to exert political influence. "If the next generation isn’t enticed to come back to the farm," he said, "then who’s going to own that land?" About 60% of U.S. farmland is farmer-owned and -operated, with the rest owned by non-farmer operators including individuals, trusts, and corporations, according to USDA.
Persons: Nuveen, Paul Schadegg, Tim Gibbons, isn’t, It’s, David Gladstone, Gladstone, Cory Booker, Bruce Sherrick, Leah Douglas, Richard Valdmanis, Anna Driver Organizations: Investment, Reuters, Manulife Investment Management, National Council of Real Estate Investment, United Nations, U.S . Department of Agriculture, Lawmakers, Senate, National Defense, Farmers National Company, Missouri Rural Crisis Center, USDA, Gladstone, Agriculture Committee, TIAA, Research, University of Illinois, Thomson Locations: U.S, United, China, Russia, Iran, North Korea, Missouri
REUTERS/Chris Helgren Acquire Licensing RightsNov 13 (Reuters) - Canada's Sun Life Financial (SLF.TO) on Monday reported better-than-expected quarterly profits, helped by growth at its wealth and asset management unit and higher fees. The insurer, however, reported a fall in underlying earnings hurt by weakness in the United States and fewer sales of personal health insurance. "The dental business reported middling results this quarter... short-term volatility is a part of this business, from a long-term perspective, the investment should be positive," Morningstar analyst Suryansh Sharma said. Sun Life said underlying earnings from its U.S. segment were down 19%. Underlying net income from wealth and asset management rose 9% to C$457 million.
Persons: Chris Helgren, Sunlife, Suryansh Sharma, Pritam Biswas, Shilpi Majumdar, Shounak Dasgupta, Lincoln Organizations: Sun, REUTERS, Morningstar, DentaQuest, Thomson Locations: Toronto , Ontario, Canada, United States, DentaQuest, U.S, Asia, Bengaluru
A soft-landing, stagflation scenario is worse than a short recession, a Manulife economist told CNBC. "A soft landing, stagflation type of environment where you get no growth and no Fed cuts, that's worse for most investors." AdvertisementAdvertisementA soft landing would spell more woes for investors compared to a short recession, according to Manulife Investment Management Global Chief Economist and Strategist Frances Donald. A short recession is the only thing likely to invite rate cuts. A soft landing, stagflation type of environment where you get no growth and no Fed cuts, that's worse for most investors," Donald said.
Persons: Frances Donald, , Donald Organizations: CNBC, Service, Manulife Investment Management Global, Labor
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with Manulife Investment's Frances Donald and Ariel Investments' Charlie BobrinskoyCharles Bobrinskoy, vice chairman and head of the investment group at Ariel Investments, and Frances Donald, Manulife Investment Management global chief economist, join 'The Exchange' to discuss consumer depletion of excess savings, geopolitical risks dampening the likelihood of further Fed rate hikes, and more.
Persons: Manulife Investment's Frances Donald, Ariel Investments, Charlie Bobrinskoy Charles Bobrinskoy, Frances Donald Organizations: Ariel Investments, Manulife Investment Management
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailInvestor focus needs to be on where growth momentum is going forward, says Manulife's Frances DonaldCharles Bobrinskoy, vice chairman and head of the investment group at Ariel Investments, and Frances Donald, Manulife Investment Management global chief economist, join 'The Exchange' to discuss consumer depletion of excess savings, geopolitical risks dampening the likelihood of further Fed rate hikes, and more.
Persons: Manulife's Frances Donald Charles Bobrinskoy, Frances Donald Organizations: Ariel Investments, Manulife Investment Management
[1/3] Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., September 28, 2023. While U.S. indexes were a mixed bag in morning trading, in Europe stocks lost earlier gains after September PMI data, a key indicator of economic health, showed manufacturing activity remains in a broad-based downturn. The pan-European STOXX 600 index (.STOXX) lost 1.21% and MSCI's gauge of stocks across the globe (.MIWD00000PUS) shed 0.56%. In currencies, the dollar index rose 0.565%, with the euro down 0.69% to $1.0497. Spot gold dropped 1.1% to $1,828.70 an ounce, while U.S. gold futures fell 0.65% to $1,836.00 an ounce.
Persons: Brendan McDermid, Michael Lorizio, Shunichi Suzuki, Brent, Karen Brettell, Marc Jones, Kevin Buckland, Nick Macfie, Mark Potter, Jan Harvey Organizations: New York Stock Exchange, REUTERS, Nasdaq, U.S, Treasury, PMI, Manulife Investment Management, Dow Jones, Finance, Reuters, Thomson Locations: New York City, U.S, Europe, Boston, New York, London, Tokyo
CNN —Central bank officials around the world relayed a somewhat unified message this week to the global economy: Inflation is coming down, but the battle is far from won. Most held rates steady, taking a breather from a historic pace of interest rate hikes to stabilize skyrocketing prices. United States: The Federal Reserve in September paused interest rates for the second time after first hitting the brakes in June. The central bank has hiked rates 11 times since last March. While central banks took steps to pause interest rates this week, they kept future hikes on the table.
Persons: , Brian Henderson, Nate Thooft, TikTok, Nnete Matima, Catherine Thorbecke, Clare Duffy, TikTok’s, George Floyd, ” Matima, ByteDance, Matima, Anna Bahney, , Read Organizations: CNN Business, Bell, CNN, Federal Reserve, Fed, BOK Financial, United, Bank of England, Swiss National Bank, Manulife Investment Management, National Association of Realtors, That’s, NAR Locations: United States, United Kingdom, Switzerland, TikTok, Northeast, Midwest, South
The European Central Bank last week lifted rates to a record 4% and upgraded its inflation forecast for 2024, but the euro fell and has lost almost 2% against the dollar this month. Overall, Europe's central banks "would like to portray this idea of higher for longer (rates)," said Ed Hutchings, head of rates at Aviva Investors. The currency, which the central bank labeled "unjustifiably weak," barely caught a break and remains near a record low against the euro . He expected one the of big European central banks to be the first to cut rates. European central banks were "in a bind," Fiotakis added, as higher oil prices also threatened to push inflation higher.
Persons: Dado Ruvic, Sterling, Kit Juckes, BoE, SocGen's Juckes, Ed Hutchings, Nathan Thooft, Bjoern, Fiotakis, Orla Garvey, Naomi Rovnick, Christina Fincher Organizations: REUTERS, Sterling, LONDON, Bank of, Swiss, greenback, Societe Generale, European Central Bank, ECB, U.S . Federal Reserve, Fed, Aviva Investors, Investment Management, Reuters, DWS Group, Nomura, ING, Barclays, Federated, Thomson Locations: Swiss, Bank of England, Switzerland, Sweden, Europe, U.S, Western Europe, United States, Britain, Swedish, Japan, European
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailI do see a recession ahead, says Manulife Investment's Frances DonaldFrances Donald, Manulife Investment Management global chief economist, and CNBC's Steve Liesman join 'The Exchange' to discuss what the August jobs report signals about the economy, whether we are heading into a recession, and more.
Persons: Manulife Investment's Frances Donald Frances Donald, Steve Liesman Organizations: Manulife Investment Management
HONG KONG, Aug 31 (Reuters Breakingviews) - Prudential’s (PRU.L), new CEO has inherited an old problem. Wadhwani’s decision to lead the $35 billion company from Hong Kong underscores its focus. Its Hong Kong and London-listed stock trades at just over 13 times expected earnings for 2023, per Visible Alpha. Larger rival AIA, listed in Hong Kong, is valued at around 18 times. The group’s new business profit in the mainland slipped 16% to $171 million in the first half as Pru withdrew some products from the market.
Persons: Anil Wadhwani, Pru, Peter Thal Larsen, Thomas Shum Organizations: Reuters, AIA, HK, U.S ., Prudential, Investments, Thomson Locations: HONG KONG, U.S, Greater China, Hong Kong, London, China
The Art Deco facade of the original Toronto Stock Exchange building is seen on Bay Street in Toronto, Ontario, Canada January 23, 2019. REUTERS/Chris Helgren/File PhotoAug 9 (Reuters) - Canada's main stock index rose on Wednesday, driven by gains in energy stocks as oil prices rose on supply tightness, while Nuvei Corp shares slumped after the payments firm's quarterly profit more than halved. ET (1406 GMT), the Toronto Stock Exchange's S&P/TSX composite index (.GSPTSE) was up 90.42 points, or 0.45%, at 20,296.4. Heavily weighted energy stocks (.SPTTEN) climbed 1.3% as oil touched new highs on supply tightness due to output cuts by Saudi Arabia and Russia. The value of Canadian building permits rose by 6.1% in June from May, data showed.
Persons: Chris Helgren, Brian Madden, Siddarth, Pooja Desai Organizations: Toronto Stock Exchange, REUTERS, Nuvei Corp, Toronto Stock, Investment, Cannabis, Manulife, Thomson Locations: Toronto , Ontario, Canada, Saudi Arabia, Russia, China, Bengaluru
Al Drago | Bloomberg | Getty ImagesThis report is from today's CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. However, Chair Jerome Powell left the door open to a subsequent rate hike, saying the central bank will make decisions "meeting by meeting." At his post-meeting press conference, Chair Jerome Powell, in other words, deftly negotiated expectations from market bulls and bears, and somehow managed to reaffirm the case of both camps. The "hawkish" part will please the bears, while the "hold" portion will appeal to the bulls.
Persons: Jerome Powell, Al Drago, Hong, Mukesh Ambani, Dow, that's, , Powell, Frances Donald, CNBC's Fred Imbert, that'd Organizations: US Federal Reserve, Market, Bloomberg, Getty, CNBC, Federal, Dow Jones, Samsung Electronics, Wall, Revenue, Reality Labs, BlackRock, India BlackRock, Jio Financial Services, CNBC Pro, Manulife Investment Management, Nasdaq, Dow Locations: Washington , DC, Asia, Pacific, Indian
This report is from today's CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Muted markets U.S. markets reacted little to the Fed's rate hike. A much-anticipated Fed hike The Federal Reserve hiked by 25 basis points , taking rates to a target range of 5.25% to 5.5%, the highest since 2001. However, Chair Jerome Powell left the door open to a subsequent rate hike, saying the central bank will make decisions "meeting by meeting."
Persons: America —, Jerome Powell, , Powell, Frances Donald, Dow, CNBC's Fred Imbert, that'd Organizations: CNBC, Reserve, CNBC Pro, Wall, Revenue, Reality Labs, Dow Jones, CAC, Federal, Manulife Investment Management, Nasdaq, Dow Locations: America
"We now believe that the Fed is on a prolonged 'hawkish hold,'" she said. "In our base case, their next move will likely be a cut but it will take until 2024 until we see it. That said, Powell will have no choice but to keep the threat of hikes alive, lest he encourage markets to prematurely price in cuts and re-ignite inflation expectations." "Indeed, throughout this coming extended pause, the risk to our base case will likely almost always be for one last hike to cement the disinflationary trend," she added. — Tanaya Macheel
Persons: Frances Donald, Powell Organizations: Fed, Manulife Investment Management
The KraneShares CSI China Internet ETF is up 5.4% since Friday, while back home the CSI Overseas China Internet Index (.CSIH11136) is up nearly 3%. Yet China tech valuations have been gutted in the nearly 3 years since Ant was forced to shelve its initial share offering, and fund managers see plenty of headwinds, apart from just policy scrutiny. "The government has learned that the private sector - particularly the tech sector - is a critical partner in jump-starting growth. The government will continue to exert pressure on key tech companies even as they allow growth to resume," he said. For some sell-side analysts, though, China tech has turned a corner.
Persons: Jack Ma, Jon Withaar, Ant, Wong Kok Hoi, Wong, Kai Kong Chay, Derrick Irwin, Xi Jinping's, Alibaba's ADRs, Morgan Stanley, Min Lan Tan, Vidya Ranganathan, Kim Coghill Organizations: Group, Alibaba, HK, Pictet Asset Management, CSI China, CSI Overseas, CSI Overseas China Internet, Amazon Inc, APS Asset Management, Greater, Manulife Investment Management, UBS Global Wealth Management, Thomson Locations: HONG KONG, China, Asia, Hong Kong, Alibaba, CSI Overseas China, Singapore, Greater China, Boston
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