Global Asset Allocaton Strategy May 2019: Firmer but fragile

The rally in risky assets continued in April, supported mainly by central banks. Global economic data is still coming in on the weak side, but some signs of a potential near-term bottom is also starting to become visible, our investment strategists write in the Global Asset Allocation Strategy for May.

Earnings forecasts for 2019 are still experiencing some downward revisions, but a decent start to the earnings season in the US has provided some hope. As the market developments so far this year have been strong, improvements in earnings expectations are, however, likely already discounted in today’s prices.

Explore our strategists' view on the allocation between assets and geographies in May’s edition of the Global Asset Allocation Strategy (pdf, 896 KB).