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More bond pain hindered stock markets this week. Despite stable US core inflation (2.4% year-on-year for August), Middle East re-escalation pushed oil prices above $100 per barrel and gas sharply higher. That forced the European Central Bank to raise interest rates for...

We end the week with global stocks once again a little higher than they were last Friday, but bond prices a step lower. Global government bond yields – the inverse of prices – have now been steadily rising for over two months....

This week has seen little movement in the main asset classes. Generally, equity markets have moved a bit higher, longer bond prices and yields are unchanged and the US dollar has recouped much of the losses from last week. Kevin Warsh is...

This week was the first time this summer that we observed the seasonal lack of trading liquidity becoming an issue in markets. Last week, we titled ‘Hot weather, chilled markets’ and wrote that the “market-moving narratives are basically the same as they...

Capital markets had another decent week, led by US tech stocks and propelled by AI-related corporate earnings reports. How many times have we written that sentence? The market-moving narratives are basically the same as they have been for weeks: strong tech earnings,...

The announcement of yet another Iran deal buoyed stock markets this week. Iran and Oman reportedly agreed a new shipping route through the Strait of Hormuz, which would temporarily solve the issue that collapsed the US-Iran ceasefire last month. The normalisation of...

This week has seen marked volatility in bonds and a number of major high-profile stocks. Some of it has been a little concerning and yet, most portfolios will probably show a reasonably positive outcome. That’s what diversification is all about. The major...

Equity and bond markets came under pressure this week, as oil prices rose above $100 per barrel again. The downside was clearest in bond markets, with long-term government yields moving up sharply. Stocks held up a little better in aggregate in the...

The summer lull has arrived early. Broad stock indices, bonds and even oil prices have bounced up and down over the last two weeks without any clear direction. The previous AI winners, particularly semiconductors (chips), are the exception: they have swung from...

Markets keep calm and carry on with businessJust as markets had downgraded the risks emanating from the Middle East, they flared up again. Yet again, however, it is telling how measured the market’s reaction has been to ships being set ablaze in...

Global stocks recovered from last week’s sell-off, but are still only roughly flat from a month ago. Once again, the previous big winners – like US tech – are the most under pressure. Last week, we put these moves down to institutional...

Stock markets, predictably, wobbled this week. Investors have seen great returns this quarter despite intense global risks, so now many institutional investment managers must rebalance their asset weightings back to target – by selling the assets that have done well. Rebalancing selling...

The deal between US and Iran, which extends the ceasefire and opens the Strait of Hormuz, is unequivocally good news for markets. Oil prices are sharply down, global stocks are up and long-term bond yields have calmed.  We can be sceptical about...

Equities started the week poorly but ended strong – a reversal of last week. Trading liquidity was initially tight as investors contemplated a glut of newly issued shares, most notably today’s SpaceX IPO, but liquidity returned on Friday amid good news stories....

Until Friday lunch time, it was a fairly dull week for markets. News of an Israel-Hezbollah ceasefire eased concerns but did not materially change the Middle East stalemate. As we write, though, traders are digesting a stronger than expected US employment report....

Global stocks pushed higher this week, led yet again by global tech stocks. Semiconductor chip makers were especially strong. On Thursday, Axios reported that US and Iranian officials had agreed a 60-day ceasefire extension, during which they would negotiate a resolution to...

Global stocks and global bonds are ending the week positively, with the gains coming mostly in non-US markets. This is the first week since the end of March that big US tech stocks have underperformed. That underperformance comes despite continued strong results...

The Bloomberg World Equity index is up 1.5% in sterling terms as we close the week, although virtually all of that gain comes from US stocks and a stronger US Dollar. Donald Trump’s high-profile visit to China had no notable surprises, which...

Markets are feeling hopeful. Iran is still mulling over Donald Trump’s proposal to end the war and reopen the Strait of Hormuz, but investors are betting on a done deal. Oil prices dropped from around $115 per barrel [pb] on Monday to...

The risks we wrote about last week keep rising. The continued US blockade of the Strait of Hormuz, along with reports that the US might restart attacks, sent oil prices above $120 per barrel in midweek trading. They have since settled down...