AHR Weekly Market Update - Monday 23rd October

AHR Weekly Market Update Podcast

On this week’s AHR Market review..

Over the last week markets endured a choppy period in which bond yields moved higher and equity markets moved lower.

Another key driver of higher US Treasury yields has been the expanding Government deficit, as increased fiscal spending has enlarged the need for Government funding through debt issuance.

In the UK consumer price inflation unexpectedly held at 6.7% in September, remaining the highest of any major advanced economy and keeping alive the possibility of another rise in interest rates.

Subdued expectations for US earnings season were scaled back slightly as a second week’s batch of quarterly results came in.

US equities fell, 2.5% over the week whilst US technology also fell, 3.2%, and almost re-entered bear market territory as it finished 19.5% lower than it’s 2022 peak.

The US 10-year Treasury yield crossed 5% during the week whilst European government bond yields also broadly climbed as investors weighed the prospect that interest rates could remain higher for longer due to sticky inflation.

Amid escalating geopolitical tensions, oil rose 2.2% over the week to close at $89 per barrel whilst the price of gold rose more than 3% to the highest level in five months.

That’s all for this week’s AHR Weekly Podcast. Thank you for listening and for further investment insights head over to ahrprivatewealth.com.