Global equity markets ended a six-week winning streak as hotter-than-expected US inflation (3.8%) pushed yields higher and eliminated expectations for 2026 rate cuts. While US large caps showed some resilience, international and small-cap segments faced significant pressure.
Key Takeaways
- 1.Hotter-than-expected US CPI (3.8%) caused markets to price out all potential Fed rate cuts for 2026.
- 2.Global equity markets ended a six-week winning streak, with the MSCI All Country World Index falling 0.5%.
- 3.A US-China summit showed constructive signs, including aircraft orders and tech export clearances, though markets remained focused on bond yields.
Table of Contents
- The Chart of the Week
- What happened last week?
- Global markets
- US
- Europe
- Rest of the world
- Our view on equities
- Equity asset class
- Earnings
- Valuation
- Disclaimer
Document Preview
Access the Full Report
Get unlimited access to institutional research reports with a 14-day free trial.
Authors
Syz Equity Research
Securities
S&P 500NVDABACSCOIATEMQQ
Themes
Monetary Policy PivotGeopolitical StalemateAI Demand Resilience
Regions
North AmericaEuropeUKUnited StatesChinaUnited Kingdom