Market developments
Equities: Global equity markets shrugged off fresh U.S. tariff threats, with the Nasdaq and S&P 500 hitting new record highs. AI-related strength, particularly chipmakers like Nvidia, AMD and TSMC, alongside solid retail-sales and jobless claims data, boosted sentiment. U.S. equity funds saw significant outflows, though European and Asian funds attracted capital. Banking and industrial sectors benefited from strong earnings.
Fixed Income: Global bond funds attracted positive inflows again, led by euro-denominated, short-term and high-yield bonds. Treasury yields pulled back modestly mid-week but rose following geopolitical and Fed chair rumours.
Commodities: Oil saw moderate volatility, drawing support from potential Russian sanctions but facing headwinds from elevated OPEC+ output and sluggish demand forecasts. Gold and Copper were relatively flat this week, with minimal volatility.