Denise Chisholm, Director of Quantitative Market Strategy joins us today for another instalment of her sector and factor watch. Today’s show focuses on a few key themes: the steep rise in energy prices, inflation, recessionary risks, interest rates, and wage spikes. Looking at the U.S. Federal Reserve and rates, Denise shares that when the Fed raises interest rates, the yield curve compresses and then we ultimately end up contracting, which is not where we are yet. Denise also explains we’ve seen three successive shocks that suggest de-globalization may be happening. Those three shocks were tariffs, the pandemic, and geo-political risk. Per usual Denise also shares which sectors and factors to pay attention too. One key area is the financial sector which Denise shares is still interesting given the risk/reward factors affecting the market.

Recorded on March 3, 2022.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. For more information on Fidelity Mutual Funds and ETFs, visit www.fidelity.ca.

FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2021 Environics’ Advisor Digital Experience Study.