Post by BNP Paribas Asset Management

Yesterday, BNP Paribas Asset Management hosted its first Mid-Year Outlook media event since our merger in January, sharing our latest views on the global economy and investment markets. Despite heightened geopolitical uncertainty and energy-related inflation pressures, our central scenario remains constructive: global growth is expected to continue, supported by resilient economic fundamentals and sustained investment in transformative themes such as artificial intelligence, European strategic autonomy as well as electrification. Key takeaways: - Global growth remains on track – no recession in our base case. - Inflation risk stays elevated but is largely a temporary oil price shock; core inflation is expected to stay manageable. - AI driven investment is accelerating – software spending now equals 3.8 % of global GDP, up from 1.7 % a decade ago. - Fixed income space offers selective opportunities as volatility widens - Supply chain pressure eases – the NY Fed supply chain index fell to 1.82 in May, its lowest level since August 2022. Our role as a leading asset manager is not only to navigate uncertainty but to look beyond near-term volatility, helping clients identify long-term opportunities and build resilient portfolios. Thank you to the journalists and market commentators who joined us for an engaging discussion. #BNPParibasAssetManagement #InvestmentOutlook #FixedIncome #Equities #Markets #Economy #Investing Nathalie Benatia, Jérôme Broustra, Gilles Guibout, Fabien Benchetrit