International Markets In November, international markets closed in the black for the second successive month, as lower US inflation, coupled with a weaker dollar and decent earnings buoyed the markets. The US Federal Reserve raised rates again by a further 0.75%, the fourth hike in a row, having increased a total of 3.75% since March. The message coming out of the Fed remains consistent, rates in the US will remain higher for longer, with cuts only expected later in 2024. Fed Chairman, Jerome Powell’s, comments at the tail end of November hinted at the possibility of smaller rate hikes from December and that the restrictive monetary policy may remain in place until there is evidence of progress on inflation. This sentiment boosted US markets as the S&P 500 rose by 5.4%, the Dow up 5.7% and the Nasdaq up by 4.4%. Inflation data for October came in better than expected as CPI slowed, with headline CPI coming in at 7.7% YoY, whereas consensus expectation was for a decline from 8.1% to 7.9%. Core CPI, which excludes food and energy, also came in lower at 6.3%, vs a previous reading of 6.6% in September and consensus of 6.5%. The UK market […]
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