Julian Emanuel, chief equity and quantitative strategist at Evercore ISI, advised investors to "rebalance a little bit" from stocks into fixed income assets. This recommendation comes after the Federal Reserve's first interest rate hike in three years, signaling a shift in market dynamics.
Asian stocks and bonds are projected to open higher, buoyed by a rally on Wall Street. This positive sentiment is attributed to a recent pullback in oil prices, which has helped to ease inflation concerns and renewed investor appetite for risk. Equity-index futures for Japan, South Korea, and Australia all pointed towards gains at the market open.
US stock contracts remained largely unchanged after underlying benchmarks recorded their most significant advance in six weeks. The S&P 500 rose 1.1%, and the tech-heavy Nasdaq 100 gained 1.7%. Notably, a key index tracking chipmakers jumped 3.1%, indicating strength in the technology sector.
