Each month our investment team provides a summary of stock markets around the world. We analyze what has happened, what we think will happen, and how best to position portfolios for their optimum risk-adjusted return.
The pre-Christmas "everything rally" petered out in January, as the market became worried that expectations of rapid, imminent rate cuts were over-optimistic. There were still gains to be had, but these narrowed to specific regions and sectors; high-quality technology stocks outperformed, while bonds and emerging market equities dropped. UK OUTLOOK Flash preliminary GDP data showed UK economic