In an interview to CNBC-TV18 Verstraete says its profit taking together with disappointment from Japanese quantitative easing (QE) which underwhelmed investors. Also, consumers in US have not spent as much as expected.
The two-day US Fed meeting which is going on should not send out the message that it wants to 'break the economy' as the latest numbers from the US have not been very strong, says Bruno Verstraete of Lakefield Partners.
If the US Fed does hike its interest rate, it will be for a good reason, but if not, the economy still needs recovering, says Bruno Verstraete, Partner at Lakefield Partners.
According to Bruno Verstraete of Lakefield Partners, US dollar will show the way for the market – weaker the dollar better it is for commodities and emerging markets because it will help bring back risk-on in the market.
Though the impact of the blasts will be short lived and there won't be any substantial impact if consumer sentiment is not affected too much by it, says Bruno Verstraete of Lakefield Partners
Bruno Verstraete of Lakefields Partners, says dollar weakness and positive earnings are key needs of market, adding, if it (dollar) continues to weaken, it may trigger rally in commodity prices causing dollar to weaken further.
Prakash Diwan of prakashdiwan.in says is of the view that market may further fall 5 percent going forward.
Bruno Verstraete, partner at Lakefield Partners says US dollar is one of the important drivers for stabalisation, which is expected to have a negative turnaround going ahead.
Bruno Verstraete of Lakefield Partners believes that the volatility risks are likely to continue going forward.
Bruno Verstraete of Lakefield Partners believes the US needs to pull global markets forward and show that the economy is in a good shape
In an interview with CNBC-TV18's Latha Venkatesh and Nigel D'Souza, Bruno Verstraete of Lakefield Partners discussed the state of global markets and whether the world economy was good enough to support the continuation of the global rally.
The overall consequence would be even more negative in case of a debt relief and possibly the International Monetary Fund (IMF) is going to clash with the ECB (European Central Bank) and the Eurozone politicians, says Bruno Verstraete, Partner, Lakefield Partners.
Speaking to CNBC-TV18, Verstraete says the worst case scenario which the market has priced in is Grexit while what has not been taken into account is the long term write-off in the industrialised European countries.
Speaking to CNBC-TV18 about the future outlook on European market, Bruno Verstraete, Lakefield Partners says will remain volatile and weak depending upon the political developments that take place amongst European Central Bank (ECB) and the Internaionla Monetary Fund (IMF) and the European nations.
Even as global investors have recently been made aware of heightened risks that exist in investing in emerging market stocks, due to currency risks, Asia is an area where they look at, according to Bruno Verstraete of Zurich-based asset manager Lakefield Partners.
Verstraete says the general mood across Eurozone is very positive and expect low euro to boost earnings and benefit exporters in the zone
The Bank of Japan (BOJ) on Friday expanded its monetary base target. It will expand annual bond purchases to 80 trillion yen a year, up from the current 50 trillion yen, and will also extend the duration of bonds it holds to about 7-10 years.
Bruno Verstrate, CEO of Lakefield Partners explains to CNBC-TV18 that the markets are focused on how the US government will address the fiscal cliff situation and when Spain will actually make the request for the ECB's aid package.
Bruno Verstrate, CEO of Lakefield Partners feels it is now a test of the newly constituted European Stability Mechanism (ESM) and the European markets will be seeing how it can help Spain.
Bruno Verstrate, CEO of Lakefield Partners said they are very bearish about the European market at the moment. Moreover, he also feels that this kind of a situation will test the strength of the ECB as well.
In an interview to CNBC-TV18, Bruno Verstrate, chief executive officer of Lakefield Partners says, the European markets are quite relaxed because there is not much news flowing into the markets at this stage.
Bruno Verstrate, CEO, Lakefield Partners explains to CNBC-TV18 that the main event to watch out during the week is the meeting of the ECB which will indicate the ECB‘s opinion on quantitative easing or the next LTRO.
In an interview with CNBC-TV18, Bruno Verstrate, CEO of Lakefield Partners said that the volatility is expected to continue till 17 June, when Greece is scheduled to go for the re-election.He also believes that the worrying factor for the market is the clash between the Spanish government and the European Central Bank (ECB).
Bruno Verstrate, CEO of Lakefield Partners, tells CNBC-TV18 that the European Central Bank could enter the market before the Greek elections so as to curb volatility.
Taking cue from the elections in Greece and France, the European markets have shown some nervousness. The CAC as well as the DAX is down. Talking about the volatile markets, Bruno Verstrate of Lakefield Partners believes that irrespective of the political outcome, the markets will tend to be weak.