Market Commentary

As earnings season continues, economic data was also the focus of investors’ attention this week. On Wednesday, UK inflation for January came in at 4% on an annualised basis. This showed prices were rising at the same rate as the December data, but were lower than market expectations of around 4.2%. The pound fell against…

  The Chancellor, Jeremy Hunt, will deliver his Spring Budget in the House of Commons on 6 March. While nothing is certain until the day, rumours are swirling about what his plan for the UK economy will include.    Ahead of an election later this year, the government would not want to go to the…

Earnings season continued at pace this week with some of the FTSE 100 heavyweights updating investors.   On Tuesday, energy giant BP reported its second-highest annual profit in more than a decade, with earnings of $13.8 billion in 2023. This was, however, a decrease from the record $27.7 billion in 2022, with the fall in…

While earnings season continued at pace this week, investors’ attention was also drawn to monetary policy announcements. The Federal Reserve (Fed) announced on Wednesday that interest rates will remain at the 23-year high of between 5.25%-5.5% for the third consecutive month. While the decision was widely forecast, Fed chair, Jerome Powell, pushed back on hopes…

Global Markets Update Q4 earnings season picked up in the States this week. Investors are keen to see if reported earnings match the optimism displayed since the Federal Reserve pivoted on interest rate expectations back in mid-December. So far, the mood has been pretty positive, with some high-profile ‘beats’ from names like Netflix and ASML,…

Equity markets continued their sluggish start to the year with inflation figures once again dominating investor sentiment.   On Wednesday, the Office for National Statistics released inflation data for the UK. In the year to December inflation was 4%, up from 3.9% the month earlier and higher than economists were expecting (3.7%). It is the…

Equity markets remained range-bound this week as inflation data in the United States led to questions over whether investors are being over-optimistic regarding the potential for interest rate cuts in the first half of 2024. According to the US Labor Department, inflation was 3.4% in the year to December, up from 3.1% in November, and…

First, please let me take the opportunity to wish you a Happy and prosperous New Year. After a strong run for equities and bonds over the last couple of months, the Federal Reserve (Fed) officials poured a little water on the fire with the release of the minutes from its December meeting on Wednesday. While…

It was a strong week for investment markets as investors reacted positively to speculation that the US central bank could embark on a sharp series of interest rate cuts next year. The Federal Reserve (Fed) held its interest rate steady for the third straight meeting, with chairman, Jay Powell, delivering an early Christmas present to…

It was a broadly positive week, with gains seen across European and American equity markets. On Thursday we got house price data from Halifax. The bank announced that prices rose for a second consecutive month, gaining 0.5% in November, indicating that the market is showing signs of stabilisation. Stocks connected to the construction industry and…