Recent trends prevailed, expectations were fulfilled and as a result, investors remained upbeat on the US and concerned about Europe. Even though US initial jobless claims retreated more than anticipated the country’s growth remains, if not robust, then stable and solid.
It has been predictable, but nonetheless curious, that the incoming US President would at some stage cross swords with the Chair of the Federal Reserve. The FOMC decision to hold rates pat saw fruition in such expectation. In a rant on ‘Truth Social’ condemning the FED to be interested in gender, green energy and climate fakery rather than bringing inflation to heel while failing in banking regulation, the scapegoat for any ills that befall President Trump’s policies is being fatted for future verbal slaughter.
Markets and investor’s sentiment are still characterized by uncertainties and by the resultant inclination to react to headlines, rather than take a longer-term view. Equities stabilized after Monday’s sharp sell-off caused by the launch of AI models by Chinese start-up, Deepseek.
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