Core Viewpoint - Schroders' investment team indicates that the Federal Reserve's policy stance is more dovish than previously expected, leading to a decline in real yields, which, combined with strong corporate earnings and loose fiscal policy, has resulted in a positive outlook for global equities, particularly favoring U.S. and emerging market stocks [1] Group 1: Market Analysis - The investment firm previously held a neutral stance on equities, but recent negative U.S. non-farm payroll data has led to a re-pricing of interest rate cut expectations by the market [1] - U.S. Treasury yields have risen, pushing valuations into a more expensive range [1] Group 2: Asset Preferences - Schroders continues to favor gold due to its benefits from lower real yields and its protective qualities against debt sustainability and concerns over Federal Reserve independence [1] - The firm has downgraded its view on local currency debt in emerging markets after strong performance, while maintaining a bearish outlook on the U.S. dollar [1] Group 3: Regional Focus - The outlook for Chinese and emerging Asian equities has been upgraded, supported by improving economic activity indicators in China and signs of export recovery in South Korea and Taiwan, providing a strong basis for broader allocation in technology export-related sectors [1]