Currently, economists are favoring a few key financial instruments for investment, typically pointing towards:
Gold: Often considered a safe-haven asset, gold tends to attract investors during periods of economic uncertainty and market volatility.
Real Estate: Certain markets are seen as prime opportunities for investment, especially as shifts in the economy may offer attractive deals and long-term value.
US 10-Year Bonds: Despite concerns over potential recession, these bonds are generally considered a stable investment option, providing security amidst market fluctuations.
Emerging Markets: Some analysts suggest selective investments in markets like China and Europe, as they may provide potential growth and policy support compared to the US market.
Overall, investments in these areas reflect a cautious yet strategic approach to navigating current economic challenges.
In uncertain times such as these, gold often becomes an attractive safe haven for investors.
There are concerns about a significant decline in global trade and shipment flows due to the effects of tariffs and ongoing China-US trade tensions.
Certain markets in real estate may provide opportunities as the economy shifts, with expectations of good deals as economic conditions change.
Futures are down due to escalated tensions with China, particularly following the Nvidia news that brings uncertainty about trade policies.
JP Morgan sees a 60% chance of a US and global recession, leading institutions to move money away from US stocks and treasuries.