Parallel Wealth Management

Chinese and US markets overcame Middle Eastern geopolitical fears to post another positive week last week, although European and Japanese shares did not perform so well. The fears around Israel and Iran led to a rise in oil prices. Brent crude oil prices jumped 9.2% to $78.23 a barrel, the strongest weekly advance in nearly two years, as data showing ongoing low levels of global oil inventories pushed prices higher. Read more: https://lnkd.in/en_pJq9Y #China #US #Markets

Since it was opened up and reformed in the late 1970s, China’s economy has grown at an average rate of 9% a year. Not this year. Facing strong disinflationary pressures, a severe property downturn and frail consumer confidence, China risks missing its own annual growth target of around 5%. So, as the week began, markets reacted enthusiastically to the People’s Bank of China unveiling a major package of aggressive measures designed to stimulate the economy. Read more: https://lnkd.in/ecGPUcZC #Economy #China

For it’s first Budget, the Labour Government is expected to make a number of tough decisions. There has been widespread speculation to Government could look at pensions, Capital Gains Tax, Inheritance Tax, or even a ‘wealth tax’ to raise funds. With so much uncertainty and speculation, it is important to make sure your financial plans are reviewed regularly. Read more: https://lnkd.in/eBVV-jgv #Budget #Autumn #Government

Investors began the week digesting news of a second assassination attempt on Donald Trump, but otherwise all eyes were looking towards the US Federal Reserve and whether it would cut interest rates for the first time in more than four years. In the run-up to Wednesday’s announcement, market bets implied a more than 60% chance of a half point interest rate cut. Countering those bets was news that US retail sales unexpectedly rose in August on the back of strong online purchasing. July’s figures were also better than initially thought. Read more:https://lnkd.in/e59CtiXa #Investors #DonaldTrump

A mixed start to the week saw Asian markets suffer further fall out from the previous week’s US job numbers. The mood wasn’t helped by disappointing Chinese inflation data. Consumer prices rose in August at their fastest pace in six months as weather disruption hit food prices, while producer prices dropped further than forecast, reflecting fragile domestic demand and the underlying trend of a faltering economy. Read more: https://lnkd.in/gRzwUTnt #AsianMarkets #USJobNumbers #WeekWatch

For much of the post-COVID period, equity markets have been largely driven by strong returns from massive companies collectively dubbed ‘The Magnificent Seven,’ thanks to their excellent performance. However, since Nvidia’s recent annual results came in below some market expectations, this sector has struggled. Due to its scale and importance to the US market, this has brought down other indices, causing the S&P 500 and NASDAQ to struggle. Peter McLoughlin, Head of Research at Rowan Dartington, notes that September has historically not been a favourable month for the tech sector. Read more: https://lnkd.in/eT9eVV-F #WeekWatch #USMarket

The wider media interest in Nvidia’s second quarter results last week demonstrated just how important a few large technology companies have become to the US market. The market reaction also demonstrated just how much is now expected of them. In this case, Nvidia beat most expectations, reporting second quarter revenue of $30 billion, versus forecasts of $28.7 billion; announced a further $50 billion share buyback; and said it expected to generate $32.5 billion in the current quarter, $10 billion more than was forecast. Read more: https://lnkd.in/epMDDU_x #WeekWatch #MarketReaction #Forecast

Why is everyone talking about the Jackson Hole economic symposium and the big announcement by Federal Reserve Chairman Jay Powell? In a world of monetary policy and interest rates, Jay Powell’s words at last week's famous Jackson Hole economic event sent ripples of excitement - and fear - across industries. Anticipation was high this year, particularly about a particular question: when will the Federal Reserve cut interest rates? The answer to this question is not just relevant to economists; it has far-reaching implications. From the ordinary citizen worried about their mortgage to a multinationals' CEO concerned about their company's borrowing ability, interest rates matter to us all. Interest rates also play a critical role in the health of the global economy. That's why much attention was paid to the Federal Reserve's stance at the beginning of August. A decline in job data had some market watchers worried about a potential recession. However, subsequent recovery in markets in many parts of the world has tempered some of this concern. So, put aside all your weekend plans and get ready to find out why Jay Powell’s announcement has everyone buzzing with anticipation. Read more: https://lnkd.in/eD_djKSy #JacksonHole #Fed #EconomicPolicy #InterestRates

Why is everyone talking about the Jackson Hole economic symposium and the big announcement by Federal Reserve Chairman Jay Powell? In a world of monetary policy and interest rates, Jay Powell’s words at last week's famous Jackson Hole economic event sent ripples of excitement - and fear - across industries. Anticipation was high this year, particularly about a particular question: when will the Federal Reserve cut interest rates? The answer to this question is not just relevant to economists; it has far-reaching implications. From the ordinary citizen worried about their mortgage to a multinationals' CEO concerned about their company's borrowing ability, interest rates matter to us all. Interest rates also play a critical role in the health of the global economy. That's why much attention was paid to the Federal Reserve's stance at the beginning of August. A decline in job data had some market watchers worried about a potential recession. However, subsequent recovery in markets in many parts of the world has tempered some of this concern. So, put aside all your weekend plans and get ready to find out why Jay Powell’s announcement has everyone buzzing with anticipation. Read more: https://lnkd.in/eD_djKSy #JacksonHole #Fed #EconomicPolicy #InterestRates

Worries around a potential US recession continued to fade last week, as a raft of positive economic data appeared to help build confidence in global markets. Chief among these was UK GDP, which grew by 0.6% in the second quarter of 2024, compared to the first quarter. The first quarter itself saw some strong growth. This means GDP has increased by 0.9% since the second quarter of last year despite the recession at the end of 2023. Read more: https://lnkd.in/gRzwUTnt #GDP #Economy #UK