True Potential Morning Markets

Today, Paul Durrans, Investment Director and Faye Graham, Investment Analyst, cover the Bank of England’s decision to hold interest rates and the strength of global equities led by the UK. Furthermore, why the team are optimistic about future returns from multi-asset portfolios.

Kevin Kidney, Head of Asset Allocation, covers the imminent developments from the UK surrounding the Bank of England inflation forecasts and market insight into Friday’s GDP print. The refreshed forecast is likely to chart a lower path of inflation over the next two years and will be critical in deciding monetary policy moving forward. Could UK inflation fall closer to 1% this quarter?

Today, Paul Durrans, Investment Director, looks into the encouraging UK construction data which shows noticeable improvements in both commercial construction and civil engineering. However with house prices stagnating in April after a March contraction, housebuilding firms will eagerly be awaiting the Bank of Englands decision to lower interest rates. Will this help stabilise a volatile mortgage market?

Today Matt Henderson, Portfolio Manager, looks to the week ahead and the Bank of England’s interest rate decision as well as the UK GDP report released on Friday. With the UK’s strong growth and economic data it has caused consensus estimates to rise, but what does that mean for equity markets?

This week, our expert Investment Management team review the factors that have caused US interest rates to remain at 5.25%. 175,000 jobs were added to the US economy and this has led to equity and bonds markets rising. Equally, companies such as Amazon and Apple have exceeded revenue expectations. All factors are considered by Jerome Powell in the Federal Reserve’s decision to hold interest rates, but how have markets reacted?

Today, Chris Leyland, Director of Investment Strategy, covers the Federal Reserve’s interest rate policy announcement and in particular the Chairman Jerome Powell’s press comments and what that language could be signalling. We also explore the asset market reaction to the announcement.

Today, Kevin Kidney, Head of Asset Allocation, covers the constructive shift in global growth throughout April and the Eurozone performance that saw the strongest growth impulse for 18 months. With falling inflation in the UK and an outperformance versus US equites, there are many reasons to be positive about the UK's economic outlook as well as the performance of multi-asset portfolios which are seeing the benefits of the global economy.

Today our portfolio manager, Matt Henderson, discusses the release of the European GDP data, with Spain and France exceeding market expectations. Also China released its latest manufacturing data which indicates expansion and is a stronger reflection of global economic strength as opposed to domestic growth in China.

Today Jeff Casson, Chief Investment Officer, discusses the anticipation of the US Federal Reserve’s statement on interest rate policy, how will this affect asset markets given the recent shift in rhetoric from Chairman Jerome Powell? We also see Apple and Amazon’s quarterly report this week rounding out the magnificent seven and the US unemployment figures.

Our expert Investment Management team discuss this week's corporate earnings updates from the large US Tech companies. Meta, Tesla, Google and Microsoft all reporting interesting results. In addition, the team covers how financial markets reacted to this week's global economic data and US inflation report. The data released lays the foundation for the upcoming central bank meeting in the US next week.