Investment Commentary

September 2019

Markets have been dominated by trade tensions between the US and China, weakening global growth and expectations of interest rate cuts. Investor demand for safe haven assets resulted in a further fall in bond yields, with long-term US bond yields dipping below...

August 2019

Central banks are easing monetary policy once again. Bond investors see this as pre-emptive action ahead of a global economic slowdown, perhaps even recession, whereas equity investors anticipate this will fuel a pick-up in corporate profitability by boosting GDP...

July 2019

Signs of a breakthrough on the US/China trade impasse and expectations for lower interest rates resulted in many equity markets ending the second quarter at or near all-time highs. Wall Street led the way with a rise of almost 4% followed by the eurozone and Japan....

JUNE 2019

After the strong start to the year, renewed trade tensions and weaker manufacturing data saw profit-taking in May as investors adopted a more cautious stance. The FTSE 100 fell 257 (3%) to 7,161 while Europe ex UK was down 5% in local currency terms, Wall Street 6%...

MAY 2019

Major stock markets gained between 2% and 4% in April. Better than expected economic news and first quarter corporate results helped Wall Street to a new all-time high. Returns for sterling-based investors were boosted by the dollar strengthening to $1.29 as the...

February 2019

Risk assets recovered strongly in January and – although not recouping all their fourth quarter losses – recorded positive returns. With global economic growth continuing to slow, markets were reassured by the Federal Reserve’s signal that US interest rate rises were...

January 2019

Risk assets recovered strongly in January and – although not recouping all their fourth quarter losses – recorded positive returns. With global economic growth continuing to slow, markets were reassured by the Federal Reserve’s signal that US interest rate rises were...

November 2018

While rising interest rates, the ending of “cheap money” and a maturing economic cycle have been evident for some time, these factors – combined with growing uncertainty on US/China trade tariffs, the Brexit stalemate, slowing growth in China, Italy’s budget deficit...

September 2018

Strong global growth, particularly in the US, subdued inflation and accommodative monetary policy remain a supportive backdrop for risk assets. However, over the summer growth momentum has eased - which is characteristic of a maturing economic cycle - and global trade...

August 2018

July was a good month for international equity markets as strong global economic and corporate profit growth outweighed the escalating trade tensions. In local currency terms, the US market was the best performing, with the S&P 500 gaining 98 points to 2,816, just...