Today’s focus is on US inflation data, which are highly anticipated by market operators. The April CPI was expected to slow down, which may suggest that the peak has been reached. The inflation index was reported a week after the Federal Reserve announced a 50 basis point rate hike and a similarly sized hike at the next two policy meetings.
Markets were dominated by inflation and growth concerns, feeding fears over the possibility of stagflation. The trigger could have been data from the US on rising labor costs combined with a sharp decline in productivity.
The markets focus this week was on the Fed’s latest monetary policy decision. Yesterday the FOMC announced a 50 basis point rate hike, the largest since 2000.
Global markets are keeping a close eye on the war, after Russia cut off gas supplies to Poland and Bulgaria. Putin threatened “lightning-fast” retaliation against “hostile” countries that intervene in the conflict.
Market uncertainty and the economic slowdown continue to loom as the Russia-Ukraine war raises setbacks. The International Monetary Fund (IMF) forecasts a global GDP growth of 3.6% this year and in 2023.
The conflict in Ukraine is heavily weighing on the global economy. Such event is reflected in macroeconomic indicators, skyrocketing inflation and downward pressure on GDP estimates. The International Monetary Fund (IMF) has revised down its global growth estimate for 2022 to 3.6%.
Today, the focus is on the ECB’s monetary policy decisions. The war in Ukraine, sanctions against Russia, supply bottlenecks and soaring inflation are weighing heavily on the euro area economy. The Governing Councilmust therefore strike a balance between economic slowdown and high inflation.
Inflation, supply chain disruptions and the Russia-Ukraine war continue to put pressure on the global economy and central bank monetary policy decisions.
The week began with oil prices surging again. Tighter supply concerns persisted following fears of new sanctions against Russia by the EU and halted talks on the Iran nuclear deal.
The Russia-Ukraine negotiations resume today with all eyes are on how the war is evolving and also on the worrying effects it has on the economy, especially in the euro area.
Aleph Finance is a trading name of UCapital Asset Management LLP.
UCapital Asset Management is authorized and regulated by the FCA – Financial Conduct Authority – with registration number 477155.
UCapital Asset Management LLP is authorized as third country firm without a branch by CONSOB with registration number 54.
Registered Company number OC333807.
You are an individual private investor or a small charity, small trust or small organisation.
The basis on which you access this site
The material on the Retail Client section of alephfinance.com website is aimed at residents of the UK only. Products and services mentioned on this site are subject to UK legal and regulatory requirements and are not available in any jurisdictions other than the UK.
The material on the website is for information only and is not an invitation to subscribe for units or shares in any funds described herein nor is it investment advice or investment recommendation. Nothing on this site should be construed as investment advice or investment recommendations. We highly recommend that you obtain appropriate professional investment advice before making any investment decisions.
We draw your attention to the “Legal Documents” page of our web site. This can be found at the top of each page. This section contains important information about the terms under which you use this web site, risk warnings and other important information. Please access and read this Important Information section.
Past performance is not a guide to future returns. The value of investments and any income from them is not guaranteed and may fall as well as rise and the investor may not get back the original amount invested.
You are an approved or exempt intermediary selling or recommending financial products to clients.
The basis on which you access this site
The material on the Professional Client section of alephfinance.com website is aimed at professional financial advisers of the UK. Products and services mentioned on this site are subject to UK legal and regulatory requirements and are not available in any jurisdictions other than the UK.
Information on the Professional Client section of our website will not be fully compliant with the Financial Conduct Authority (FCA) disclosure requirements relevant to private investors or retail clients.
If you are a private investor you must not access this area of our website. Please select the Retail Client option from our welcome screen.
We draw your attention to the “Legal Documents” pages of our web site. This can be found at the top of each page. This section contains important information about the terms under which you use this web site, risk warnings and other important information. Please access and read this Important Information section.
Past performance is not a guide to future returns. The value of investments and any income from them is not guaranteed and may fall as well as rise and the investor may not get back the original amount invested.
Aleph Finance is a trading name of Pairstech Capital Management LLP.
Pairstech Capital Management LLP is authorized and regulated by the FCA – Financial Conduct Authority – with registration number 477155.
Pairstech Capital Management LLP is authorized as third country firm without a branch by CONSOB with registration number 54.
Registered Company number OC333807.
You are here on behalf of a fund management group, pension fund or other institutional investor.
The basis on which you access this site
The material on the Institutional section of alephfinance.com website is aimed at professional financial advisers of the UK. Products and services mentioned on this site are subject to UK legal and regulatory requirements and are not available in any jurisdictions other than the UK.
Information on the Institutional section of our website will not be fully compliant with the Financial Conduct Authority (FCA) disclosure requirements relevant to private investors or retail clients.
If you are a private investor you must not access this area of our website. Please select the Retail Client option from our welcome screen.
We draw your attention to the “Legal Documents” pages of our web site. This can be found at the top of each page. This section contains important information about the terms under which you use this web site, risk warnings and other important information. Please access and read this Important Information section.
Past performance is not a guide to future returns. The value of investments and any income from them is not guaranteed and may fall as well as rise and the investor may not get back the original amount invested.
Aleph Finance is a trading name of Pairstech Capital Management LLP.
Pairstech Capital Management LLP is authorized and regulated by the FCA – Financial Conduct Authority – with registration number 477155.
Pairstech Capital Management LLP is authorized as third country firm without a branch by CONSOB with registration number 54.
Registered Company number OC333807.
For further information, please read our Legal Documents.
