Global markets were down Friday, tracking Wall Street's overnight losses. The dollar continued to fall, on track for the biggest weekly decline since 1985, and oil remained near 4-1/2 year lows.
The prospect of the eventual oversupply of dollars from the Federal Reserve's proposed quantitative easing compelled investors to dump the currency and move into bonds. Experts tell CNBC U.S. Treasurys and inflation hedges are the way to go in 2009.
US Treasurys: A Hot Pick for 2009
Over the next year, U.S. Treasurys could be one of the best performing asset classes to invest in, suggests Robert Kessler, founder & CEO of The Kessler Companies.
Bonds: A Risky Bet?
Don't own bonds, says Hans Goetti, CIO of LGT Bank in Liechtenstein as he believes deflation may occur in the future. He suggests investing in inflation hedges like gold, silver and commodities.
Oil to Hit the Bottom of the Barrel in '09
Oil prices will hit the bottom of the barrel in 2009, believes Carlo Caiani, CEO of Caiani & Company. As such, he tells CNBC to expect further production cuts from OPEC.
More Supply Cuts to Come?
OPEC and non-OPEC producers now have more of an incentive to adhere to supply cuts because as oil prices fall, their actual deficits grow, notes Jonathan Barratt, MD of Commodity Broking Services.
No More High Yielders?
There won't be many "high yielders" in the G20 world in 2009, believes Jeffrey Halley, senior manager at FX trading at Saxo Capital Markets. He reveals his predictions for the currency crosses next year.
Yen's Strength Will Be Hard to Reverse
The overall trend of yen strength will be very difficult to reverse, says Vassili Serebriakov, currency strategist at Wells Fargo. In the medium-term, he recommends "long" yen as a trade.
Increased M&A Activity in Resources
An unbelievable amount of M&A activity within the resources sector could happen as soon as mid-2009, says Carlo Caiani, CEO of Caiani & Company.
Upbeat on Apple
The bearish sentiment towards Apple is uncalled for as Kevin Landis, co-founder & CIO at Firsthand Technology Funds believes that Apple's market share will continue to grow in 2009.
Asian Telcos to Flourish Despite Downturn
Asia Pacific's subscriber growth and mobile penetration will continue in 2009 despite the global downturn, believes Marc Einstein, senior industry analyst of ICT research at Frost & Sullivan Asia Pacific.
GE's Lowered Credit Rating is a "Non-Downgrade"
Ratings agency S&P lowered General Electric's (GE is the parent company of CNBC) credit rating to a "negative" but Daniel Frishberg, chief investment strategist at lafferfrishberg.com tells CNBC that this is a "non-downgrade". He explains why.
Time to Invest in Food?
Agricultural commodities are being tipped as one of the best performers to ride out the downturn in 2009. “You just can’t really eat less,” Coast Sullenger from Gaia Capital told CNBC.
Oil Demand to Rise in 2009
Oil prices may be forming a floor at current levels and demand could start to boost prices next year, David Hart from Hanson Westhouse told CNBC.
Stay Cautious in Bear Market
Investors should remain cautious as the stock market is likely still in a bear market, Vince Farrell, CIO of Soleil Securities Group, told CNBC. Credit yields are a good stock substitute at the moment, he added.
More from CNBC.com: