Historical trends are being permanently broken in real time as mega forces, like the rise of artificial intelligence (AI), transform economies.
Expectations for solid corporate earnings drove our U.S. and Japanese equity overweights this year. They have delivered, showing that fundamentals are key. Earnings strength could matter more to equity investors in 2025 over valuations.
Why the equity market rally following the U.S. presidential election could continue into year-end.
The current global expansion has been characterized as one of US exceptionalism. Despite many developed market economies outperforming low expectations, the robustness of the US expansion has stood out. We believe this can continue based on differences between the US and European economies.
Municipal bonds broke their winning streak in October, posting negative total returns alongside broader fixed income assets.
We are in a world where multiple, starkly different outcomes are possible. The decisive U.S. election outcome has stoked uncertainty about future U.S. policy.
This is not a typical business cycle. We see structural forces holding inflation higher long term, keeping the Fed from cutting as much as markets expect.
As we think about investing around a historic election, establishing what we know, what we need to know, and what we can count on is a useful foundation for navigating the uncertainty.
In this article, Russ Koesterich discusses why he believes U.S. exceptionalism is a trend that is likely to continue.
Annuity owners value the financial security that guaranteed lifetime income provides.
The start of a rate-cutting cycle has opened up new questions ― and possibilities ― for stock investors. Tony DeSpirito, Global CIO of BlackRock Fundamental Equities, outlines key areas to watch as the Fed takes action to “recalibrate” interest rates.
The tendency to blindly follow these rules has led investors towards prematurely de-risking and over-estimating the likelihood of recession.
Municipal bonds bucked the seasonal trend and posted strong performance in September.
In this article, Russ Koesterich discusses gold may continue to serve as a store of value in the current environment.
The puck has certainly moved since our last market commentary. This month, we argue that the needle on portfolio construction should move with it. Equities have been the driver of returns for much of the last few years.
We bring together historical and real-time analysis for insight into the economy, markets, and potential alpha opportunities and risks we’re watching.
The world could be undergoing a transformation akin to past technological revolutions. But the speed, size and impact of that investment is highly uncertain. We think leaning into the transformation and adapting as the outlook changes will be key.
The economy is not the stock market. And that’s good news.
The impressive arc of AI stock growth has been something to behold. Touring Silicon Valley and meeting with AI and tech company leaders offers another level of inspiration and insight on the market juggernaut. Active equity investor Tony Kim shared the experience and his broader AI investment outlook with The Bid podcast.
As the back-to-school season fills your social media feed with first-day photos and ads for the latest school supplies, it is also a prime opportunity for financial advisors to reconnect with clients about their education savings plans.
Munis cemented their best “summer” since 2010 after another month of strong performance. Some near-term caution is warranted given that September has been historically challenging. Robust issuance ahead of the election should provide opportunities in the primary market.
In this article, Russ Koesterich discusses why the next bout of market volatility may last a bit longer than previous downturns and how to best position your portfolio against this backdrop.
An analysis of the leadership reversal and market sell-off observed in recent weeks and why an emphasis on equities with consistent fundamentals is justified.
Recent growth data have been muddled and subject to conflicting interpretations. There have been mixed signals from leading indicators and hard data and divergent readings across major economies.
The healthcare sector offers a compelling mix of defensive characteristics and growth potential driven by innovation. It also features ample dispersion that presents stock pickers with an opportunity to parse potential leaders and laggards in pursuit of above-market return.
The most glaring uncertainties today, which contributed to early August seeing some of the largest market moves in the last several years, are the risks associated with the Federal Reserve’s dual mandate.
Improve your income potential with a tactical, unconstrained strategy that sources opportunities across geographies and asset classes. BlackRock Multi-Asset Income Fund takes a risk-first approach while seeking to deliver a consistently attractive yield.
Robust U.S. stock momentum hit a slowdown in the third quarter, even as strong company earnings results rolled in. Fundamental Equities’ U.S. and Developed Markets CIO Carrie King weighs in on the incongruence with three reflections from Q2 earnings season.
Technology stocks led the market for much of this year, with AI euphoria in full effect. Recent cracks in the momentum caused some investors to question whether the enthusiasm has been exhausted. Technology investors and active stock pickers Tony Kim and Reid Menge offer answers ― and an optimistic outlook.
Municipal bonds maintained their summer strength and posted a second-consecutive month of positive performance in July.
Recent macroeconomic and geopolitical developments, along with shifting AI sentiment, have raised concerns over whether strong headline returns, low volatility, and persistent mega cap tech leadership can continue as we look ahead.
In this article, Russ Koesterich discusses factors behind gold’s impressive performance year to date.
The rise of LLMs and public availability of generative AI tools has driven a wave of excitement over AI’s potential to transform society, economies, and workflows.
The economy and markets have emerged from the pandemic fundamentally changed. For equity investors, we believe this means a different opportunity set than the one that prevailed over the past decade and a half ― and one that favors alpha (excess return) over beta (market return).
When it comes to assembling a well-rounded investment portfolio, the makeup and placement of U.S. equity allocations are key considerations. Tony DeSpirito, Global CIO of BlackRock Fundamental Equities, challenges conventional thinking to suggest that alpha-seeking strategies in U.S. large-cap stocks are deserving of a core position in portfolios.
Elections have been anything but easy for investors. What has been easy is financial conditions in the US relative to the level of policy rates, fostering the debate over the degree of policy restrictiveness as global monetary easing begins.
In this article, Russ Koesterich discusses why bonds are still not a reliable hedge for equities in an environment where inflation remains elevated and volatile.
Municipal bonds posted their strongest June performance since 2019. The asset class outperformed amid improving seasonal supply-and-demand dynamics. Looking ahead, July has historically been the strongest performing month of the year.
Rick Rieder and team argue that the economy is making further progress towards normalization and continues to offer a once-in-a-generation investing opportunity, which isn’t adequately represented by the benchmarks.
Macro worries meet AI wonderwall. Stocks have managed to climb a wall of macro worries, thanks to largely solid earnings that we believe can expand beyond AI beneficiaries and continue to support prices. As Q3 begins, we look for:
Market indexes can be a useful barometer of long-term performance. But the investment opportunity set need not start and end there. Fundamental Equities investor Alister Hibbert uses an unconstrained approach in seeking to identify those rare companies that stand out from the pack.
Municipal bonds deviated from U.S. fixed income assets and posted negative performance in May.
The Federal Reserve’s balance sheet is one of the world’s most important security portfolios. Yet, its ongoing importance for markets and financial conditions is often underappreciated.
In this article, Russ Koesterich discusses the YTD strength of energy stocks and why it could continue.
A defining feature of the post-COVID investment regime has been the persistence of elevated market uncertainty and volatility. The below visual highlights how this has led to a wider range of market performance outcomes, focusing in on the vast difference between the last two calendar years.
Strong Q1 earnings were a bright spot as sticky inflation and dimmed expectations for rate cuts cast some shade on U.S. equity markets. Fundamental Equities investor Carrie King looks beyond the headlines to offer four takeaways from the most recent earnings season.
Artificial intelligence (AI) and its unparalleled potential have powered stock market returns over the past year. Yet the market has more to offer, particularly as leadership may be poised to broaden beyond AI beneficiaries.
In this article, Russ Koesterich discusses why stocks are proving to be resilient in the face of higher rates and muted expectations for monetary easing.
How momentum and election cycles may shift the impact and timing of seasonal trends.
