Video: Finding Rich and Cheap in Fixed Income Markets

In our latest edition of “Q&A with”, Luke Templeman, Thematic Research Analyst, shares his view on the implications of rising wage costs, greater political instability and higher interest rates for corporates. [more]

The next iteration of UNFCC’s Conference of Parties, COP 27 is taking place in Egypt. As part of the Global South and home to one of world’s most diverse marine life, the location of Sharm-El-Sheikh in Egypt is quite relevant to this year’s conference. The event serves as the United Nation’s (UN) annual Climate Change summit and is intended to bring ~200 countries together to accelerate action towards goals of the Paris Agreement (2015) and limiting global warming to 1.5 degrees above pre-industrial levels. [more]

Amidst the backdrop of rampant food inflation, this year’s COP27 in the Egyptian city of Sharm El-Sheikh (November 6-18) will be critical. That is because food inflation has been stronger than overall inflation. In fact, in March the US hit an inflection point when food and beverages CPI outpaced broader CPI. This is not just a US issue. The food inflation problem is a global phenomenon. [more]

Perry Kojodjojo and Oliver Harvey from Deutsche Bank Emerging Market Research discuss the recently published EM Currency and Local Markets Handbook. The new and revitalised handbook covers over 30 local EM markets in detail, covering liquidity, market structure and regulations in FX, local bonds and IRS, as well as targeted descriptions of monetary policy and market participants. The Handbook is designed to be an essential tool for institutional and corporate clients in navigating an increasingly complex and fragmented EM regulatory and macro environment, with new sections on unconventional monetary policy by EM central banks, new markets such as Kenya and Pakistan and a discussion of the evolving EM market landscape. [more]

In recent weeks, markets have been very volatile as they digest announcements from global policymakers and central bank responses to persistently elevated inflation. In the latest episode of Podzept, Matthew Luzzetti, Chief US Economist, and Matthew Raskin, Head of US Rates Research, discuss their views on the outlook for Fed policy and the US yield curve. [more]

While the "Space" industry emerged many decades ago, public interest significantly diminished toward the latter part of the 20th century as entrepreneurs mostly avoided the sector due to high barriers to entry, regulation, and limited deployment opportunities.

Edison Yu, lead coverage of Global Space & Aerial Mobility, believes two developments can change this and ensure space will be the next frontier for limitless growth: 1) the emergence of a new "Space Race," both between industry titans (Musk vs. Bezos) and between nations (US vs. China/Russia), has captivated audiences around the world and 2) the deployment of mega constellations (Starlink, OneWeb, Amazon Kuiper) has facilitated massive investment in infrastructure and supply chains.

Read the new report ‘The Big Rocket Shortage’ to find out more. [more]

Emerging economies face an extremely challenging environment. Rising USD and EUR yields as the Fed and ECB raise policy rates quickly to try to stabilize prices; depreciating currencies, especially against the dollar, as a consequence; slowing growth; extreme climate events and the economic consequences of the war in Ukraine in the form of a further boost to food and fuel prices. [more]

Since our last House View in June, the economic and market outlook has deteriorated dramatically. We are in the midst of a historic bursting of the bond bubble, and a once-in-a-generation equity revaluation, combined with a sustained flight into the USD. The latter has been driven by geopolitical consideration as well as the failure of the ECB and the BoE to act as decisively on inflation as the Fed. Our street-leading prediction of a US recession by end-2023 has become increasingly mainstream, and we also expect the Euro Area and German economy to contract by at least -2% and -3% respectively next year. [more]

In a new annual report ‘Long-term asset return study 2022: How we got here and where we’re going…..’ our thematics team explore 2022, which has been one of the toughest years for financial markets in decades. Bonds and equities are declining in unison, and we are now in the first global bear market for government bonds in 70 years. Read an extract touching on these themes, but with the main report focusing on how we got into the perilous economic, social and political situation in which we find ourselves today. Clients of Deutsche Bank Research can access the full report here. [more]

We believe Consumer Staples companies are defined by the health and strength of their brands. As a result, we’ve just published a major piece of research which we call ‘the Brand Wagon’. In the report we analyse A&P investment over the last 25 years for the 26 largest Consumer Staples companies we cover in both Europe and the US.

This analysis allows us to assess how company investment in brands affects both financial and share price performance over the long term. We also look at how changing media consumption habits are impacting the way Consumer Staples companies build brands and whether the shift to digital versus traditional is making marketing investment cheaper or more effective. [more]

Do you have Private Equity in your portfolio and worry about illiquidity and valuation markdowns?

In this new video, Ganchi Zhang from our Quantitative Investment Solutions Research team summaries how our PE replication framework harnesses a better liquidity and risk profile. [more]

In our new series ‘Making Sense of Space’ we discuss various aspects of the Space ecosystem. The first episode kicks off with the rocket launch market. Edison Yu, lead on research coverage of Space & Aerial Mobility, speaks with Peter Beck, Founder and CEO of Rocket Lab, one of the leading launch companies in the world. [more]