Ukraine and the impact on markets

The events in Ukraine have understandably destabilised markets as investors digest the prospect of war in Europe. Geopolitical horrors such as this one have usually seen a relatively short-lived impact, with markets recovering quickly after the initial shock. However, is it naïve to assume the same thing with a conflict of this magnitude? The consensus … Continue reading “Ukraine and the impact on markets”

A volatile start to 2022

Widespread declines in January Leading equity markets generally fell during January amid concerns over the prospect of higher interest rates in the US, the impact of the Omicron variant, and mounting tensions between Russia and Ukraine. The Vix Index – which tracks expectations of future volatility – rose to its highest level in over a … Continue reading “A volatile start to 2022”

Inflation: not so transitory after all

Inflationary pressures are real and are looking increasingly persistent rather than transitory. Investors need to be wary of the assumption that all equities can weather an inflation storm. Inflation is now over 5% in the UK. This is considerably ahead of the Bank of England’s targets and also ahead of its expectations. To date, stock … Continue reading “Inflation: not so transitory after all”

The beginning of the end

Global Market Review Stimulus withdrawal creeps closer The US Federal Reserve (Fed) may start to reduce its stimulus measures sooner than expected if the US economy continues to make progress towards the central bank’s key goals of full employment and stable inflation. Nevertheless, Fed Chair Jerome Powell – speaking at the annual Jackson Hole Symposium … Continue reading “The beginning of the end”