This group brings together the best thinkers on energy and climate. Join us for smart, insightful posts and conversations about where the energy industry is and where it is going.

Post

The (underlying) market risks

Rafael Herzberg's picture
Consultant energy affairs Self employed

Rafael Herzberg- is an independent energy consultant, self-employed (since 2018) based in São Paulo, Brazil* Focus on C level, VPs and upper managers associated to energy related info, analysis...

  • Member since 2003
  • 2,108 items added with 1,233,070 views
  • Feb 3, 2021
  • 914 views

The (underlying) market risks

The world economy had a negative performance in 2020 but even so the financial markets showed a positive result!

In the same token, companies with an important share of the main indexes, such as at the NASDAQ, for example, show companies with "multipliers" (share price divided by earnings per share) well above tradition.

In other words, there has been a great detachment of the "fundamentals".

Explanations that analysts offer, range from the lack of attractiveness of fixed income securities that resulted in the massive "migration" to equity securities to optimism about vaccines and the associated expectation of a robust resumption of the world economy.

Between the bet on the long-term good results (jobs, income and GDP) and the worrying news in the short and medium terms with the devastating effects of the pandemic, volatility appears as the "mediator" of the situation.

Welcome to the new reality!

Rafael Herzberg's picture
Thank Rafael for the Post!
Energy Central contributors share their experience and insights for the benefit of other Members (like you). Please show them your appreciation by leaving a comment, 'liking' this post, or following this Member.
More posts from this member
Discussions
Spell checking: Press the CTRL or COMMAND key then click on the underlined misspelled word.

No discussions yet. Start a discussion below.

Get Published - Build a Following

The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.

If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.

                 Learn more about posting on Energy Central »