The key takeaway for investors is that even as the Fed starts to normalize U.S. rates later this year, markets should still be benefiting from historically low rates and aggressive monetary stimulus from most of the world’s central banks. For better or worse, we’re still in a world in which market returns are heavily influenced by what central banks are doing, saying and even thinking.
Source: Bloomberg, BlackRock Research
Russ Koesterich, CFA, is the Chief Investment Strategist for BlackRock. He is a regular contributor to The Blog.