News & Views

Global markets were mixed over the week as investors balanced signs of easing inflation against continued caution from central banks and ongoing geopolitical uncertainty. US equities diverged, with strength in the Dow offset by weakness in technology stocks, while UK markets were broadly flat. Attention remains firmly on incoming inflation and labour-market data, which will be critical in shaping interest-rate expectations as markets move toward year-end.

Global markets advanced in September 2025 as the Fed cut rates for the first time this year, while the BoE and ECB held steady. Strong performances in commodities and China-focused sectors powered broad equity gains, with the Netherlands and Peru leading the way. Despite persistent inflation, improving sentiment and policy support lifted the Balanced portfolio Index by 1.58%, signalling renewed investor confidence.

Recent trade tensions between the United States and China triggered brief market turbulence following new tariff and export control announcements. Despite initial volatility, conciliatory statements from both sides have calmed investor sentiment, with markets showing signs of stabilisation and optimism for future dialogue—particularly ahead of the APEC Summit.

Global markets in July showed resilience but faced sharp volatility. Strong earnings and steady growth lifted equities in the U.S., UK, Eurozone, and Japan, yet trade tensions, rising public debt, and mixed inflation created uncertainty. Bond yields climbed, currencies weakened in key regions, and late-month policy concerns reminded investors how quickly sentiment can shift.