Market developments
Equities: Global equities retreated for the first time in seven weeks, with MSCI’s All-Country World Index declining roughly 1.7% over the period. The bulk of that loss was recorded in a single session on Friday, when a weaker-than-expected U.S. July payrolls report prompted a broad, risk-off re-pricing.
Fixed Income: Sovereign bonds provided the week’s principal haven. Canadian and U.S. government bonds rallied sharply after the payroll miss, compressing the U.S. 10-year yield to 4.2%, reflecting a swift shift toward two Federal Reserve rate cuts before year-end.
Commodities: Price action was mixed. Brent crude advanced roughly 3.2% for the week, supported by lingering supply concerns even as broader risk sentiment deteriorated, whereas gold ended only modestly higher.