Trump's inauguration sparks volatility in the bond market
The spotlight is on Donald Trump's return to the oval office this week, marking his takeover from Biden and his second run as the leader of the world's largest economy. As Trump prepares to sign dozens of executive orders, the focus is on the potential shifts in policy, sparking interest in U.S. tax reforms, global market implications and strategic positioning. CNBC Africa’s Fifi Peters spoke to Mercer Global Chief Investment Strategist, Rich Nuzum on the side-lines of the World Economic Forum in Davos, Switzerland.
Wed, 22 Jan 2025 15:40:08 GMT
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AI Generated Summary
- Bond markets have shown weakness and uncertainty following Trump's election, with long-term interest rates rising despite expectations.
- Geopolitical risks have been heightened, with concerns about trade policies and global coordination on climate change.
- Emerging markets, particularly in Africa, are increasingly seen as investment opportunities due to population growth and rising consumer spending.
As the world watches Donald Trump's return to the oval office this week, marking his second run as the leader of the world's largest economy, the focus is on potential policy shifts and their implications. With Trump set to sign numerous executive orders, questions about U.S. tax reforms, global market impacts, and strategic positioning are at the forefront. CNBC Africa's Fifi Peters caught up with Mercer Global Chief Investment Strategist, Rich Nuzum, on the sidelines of the World Economic Forum in Davos, Switzerland to discuss these pressing issues. Nuzum provided valuable insights on market reactions to Trump's presidency and the outlook for investments in emerging markets and climate-themed responsible investing. He highlighted the impact of bond market volatility, geopolitical risks, and opportunities in emerging markets, particularly in Africa. Nuzum also touched on the climate-themed investment narrative and the role of the private sector in driving clean technology innovation. The interview shed light on the evolving landscape of global investments and the challenges and opportunities that lie ahead.