Russell Burns

5 months ago4 mins

Here’s Where Blackstone Sees Opportunities Now

Here’s Where Blackstone Sees Opportunities Now

Russell Burns

5 months ago4 mins

Here’s Where Blackstone Sees Opportunities Now
  • Blackstone’s quarterly outlook highlights the investment firm’s concerns about sticky inflation and its impact on margins and valuations

  • Crowd sentiment is sharply negative, and a rally in equities and bonds is possible.

  • Higher inflation tends to move stocks and bonds in tandem, so if stocks fall, bonds may too.

Blackstone’s quarterly outlook highlights the investment firm’s concerns about sticky inflation and its impact on margins and valuations

Crowd sentiment is sharply negative, and a rally in equities and bonds is possible.

Higher inflation tends to move stocks and bonds in tandem, so if stocks fall, bonds may too.

Blackstone’s latest overview of the global economy doesn’t make for cheerful reading: the way it sees things, there are three massive threats facing the world’s economies. But the New York investment firm also sees opportunities…

What are the three big risks?

1. Recession

The risks of a recession are higher in Europe than in the US – and mostly that’s down to the Russia-Ukraine war and sharply higher energy costs. And the economic slowdown in China has everyone feeling the pinch: it’s been one of the world’s key economic drivers but now is seeing meager (for China) growth of less than 3% per year.

For the US, meanwhile, Blackstone uses a six-point checklist to determine when a recession has hit. And the world’s biggest economy already has four checkmarks. That m

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