Monthly financial markets outlook | January 2025
As we step into a new year, we are taking a broader perspective in this edition of our newsletter. Rather than focusing solely on the past month (December 2024) as we typically do, we’ll reflect on market performance for the full calendar year and the key themes that shaped investor sentiment. We will also highlight […]
Reminder To Utilise Annual Offshore Allowances
A reminder to investors looking to diversify their portfolios by maximising their offshore allowances afforded by the South African Reserve Bank (SARB): These allowances will expire at the end of each calendar year on 31 December. Under the Exchange Control Regulations, the SARB provides South African resident individuals with a R1 million Single Discretionary Allowance […]
Monthly financial markets outlook | December 2024
Global markets were mixed in November amidst heightened geopolitical uncertainties following Trump’s re-election for a second term as US president. The MSCI World Index gained 4.47% in dollar terms, with US markets leading the way. The S&P 500 climbed 5.7%, its best month since February, while the Dow Jones surged 7.5%, its strongest performance this […]
Monthly financial markets outlook | September 2024
Developed markets were volatile in August driven by concerns on the continued tightness in the US monetary policy settings, recession fears and rising geopolitical risks. Nonetheless most major indices ended in the green thanks to the dovish speech by the US Fed Chair, Jerome Powell at Jackson Hole. Sentiment was also bolstered by the upward […]
Monthly financial markets outlook | June 2024
May was eventful but closed on a positive note. Domestic equities, as well as offshore bonds and equities, generated healthy returns for investors. Domestic equities could have performed even better without the month-end sell-off, likely triggered by election uncertainty. The most significant event in the domestic space was the general election, in which the African […]
Monthly financial markets outlook | May 2024
April saw a reversal of the trends which dominated the first quarter of 2024. Emerging markets, including, South Africa, outperformed their developed counterparts as concerns about stagflation dampened sentiment. Weaker-than-expected economic data from the US, coupled with hot inflation prints, fuelled these anxieties. An advance estimate of US GDP showed the economy expanded at an […]
Monthly financial markets outlook | April 2024
Financial assets had mixed fortunes during the first quarter. Global equities thrived, fuelled by a confluence of positive macroeconomic data and company-specific factors. Global bonds and domestic equities on the other hand had a tough quarter. Encouragingly, the macroeconomic landscape continued to improve, with resilient economic activity persisting and fundamental drivers of inflation weakening further. […]
Monthly financial markets outlook | March 2024
Developed markets equities had a stellar month as bottom-up factors overpowered a mixed bag of macro data. The MSCI World gained 4.11%, with U.S. equities particularly standing out, rising 5.2% on the back of stellar results from the ‘magnificent 7,’ reinforcing the artificial intelligence (AI) narrative. Nvidia, a key player in AI, released fourth-quarter results […]
Monthly financial markets outlook | February 2024
US equities eked out positive returns despite facing selling pressure in the last week of the month following uninspiring tech earnings and a Fed pushback. Investors continued to shun emerging markets and European equities amid a divergence in economic prospects between the US and the rest of the world. The ALSI bore the brunt of […]