Market Updates

Curious about the current condition of the financial markets and its potential impact on your investments? Keep informed about any risks and opportunities you need to be aware of.

 

 


 

Our latest market updates

10 June 2024

Will the US follow Europe’s lead on interest rate cuts?

Market updates
As expected, the European Central Bank (ECB) lowered interest rates by 25 basis points last week. The main refinancing rate is now 4.25%, and the deposit rate is 3.75%. Even though the decision was expected, European equities fell slightly, government bond prices rose (yields fell), and the euro appreciated right after the announcement.
03 June 2024

The European Central Bank looks set to cut rates this week

Market updates
Inflation in the Eurozone rose for the first time this year, adding to worries that the inflation-easing trend may have come to a halt therefore limiting the European Central Bank’s (ECB) ability to cut interest rates. We disagree: we think that inflation progress is just slowing.
27 May 2024

The AI rally is intact

Market updates
There were contrasting trends in markets last week. On the one hand, Nvidia beating earnings expectations once again and raising guidance for the next quarter supported the AI rally and bolstered tech stock more broadly, with the Nasdaq closing 1.4% higher.
21 May 2024

Watching Europe’s nascent recovery

Market updates
Last week, stocks from the US to Europe and the UK closed again at all-time highs, and government bond prices rose as yields fell, after April inflation data in the US came in broadly as expected. Inflation fell slightly, which marked a welcome relief from the rising trend we’ve seen in the first three months of the year.
06 May 2024

Interest rate cuts in Europe before the US

Market updates
Given the recent upside surprises in inflation, the market was somewhat relieved that the US Federal Reserve (Fed) Chair Powell made clear that the central bank is not considering raising rates. Powell only confirmed what we, and many others, had suspected: interest rate cuts are not that imminent anymore.
29 April 2024

Markets adjust to less imminent rate cuts

Market updates
Thursday’s US GDP growth print revealed more inflationary pressures in the first quarter than expected. As such, the market now only expects the US Federal Reserve (Fed) to cut interest rates once or twice, in September and/or December.
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